1. Listed are spot and one-year forward exchange rates, nominal and real interest rates and expected inflation. Currency Last year S Curtent S Year For. Nominal Interest Real Interest Expected Inflation Singapore S/S 1.4476 Thai Bhats 25.136426.025026.9690 U.S. Dollar 1.4200 1.3921 2.34 1.20 9.50 2.52 5.50 3.00 e) (5 points) Find future spot rates assuming the inflation rates will hold over the next several years. E(appreciation)Bath ESpot in 2 Year) Current Spot Currency Thai Bhat/S 26.0250 10 (5 points) Forecast future spot rates assuming that the interest rates do not change over the two-year horizon. Please show all numbers as #.####. Currency Singapore s/S Current Spot E(appreciation)SSE(Spot in 2 Year) 1.4200 1. Listed are spot and one-year forward exchange rates, nominal and real interest rates and expected inflation. Currency Last year S Curtent S Year For. Nominal Interest Real Interest Expected Inflation Singapore S/S 1.4476 Thai Bhats 25.136426.025026.9690 U.S. Dollar 1.4200 1.3921 2.34 1.20 9.50 2.52 5.50 3.00 e) (5 points) Find future spot rates assuming the inflation rates will hold over the next several years. E(appreciation)Bath ESpot in 2 Year) Current Spot Currency Thai Bhat/S 26.0250 10 (5 points) Forecast future spot rates assuming that the interest rates do not change over the two-year horizon. Please show all numbers as #.####. Currency Singapore s/S Current Spot E(appreciation)SSE(Spot in 2 Year) 1.4200