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(5.18) Suppose the current exchange rate between Germany and Japan is 0.02 =C/. The euro-denominated annual continuously compounded risk-free rate is 4% and the yen-denominated

(5.18) Suppose the current exchange rate between Germany and Japan is 0.02 =C/. The euro-denominated annual continuously compounded risk-free rate is 4% and the yen-denominated annual continuously compounded risk-free rate is 1%. What are the 6-month euro/yen and yen/euro forward prices?

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