22. Assume the tollowing information is available for the U.S. and Europe U.S 2% Europe 4% Nominal interest rate One-year forward rate Use the forward rate to forecast the percentage change in the euro over the next year. (2 pts) $1.14 per euro $1.10 per curco Spot rate a. 14 b. Does IRP currently hold? (Yes/No) (3 pts) eS, According to IRP, what should the forward rate be? (3 pts) c. According to the IFE, what is the expected spot rate of the euro in one year? (3 pts) 02 (Bonus) One analyst said that the IRP and IFE theories give conflicting predictions about changes in exchange rates. Do you agree with the analyst' opinion? Why? (2 pts) d. as se