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1. An Eurozone invester finds out that the spot rate for :$ is 1.25, and it is expected that the inflation rate would be 8.91%
1. An Eurozone invester finds out that the spot rate for :$ is 1.25, and it is expected that the inflation rate would be 8.91% in U.S and 12. 87% in Eurozone. Find the expected spot rate for :$ one year away. (10 ponts)
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