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A Japanese investor can earn a 1 percent annual interest rate in Japan or about 3.525 percent per year in the United States. If the

A Japanese investor can earn a 1 percent annual interest rate in Japan or about 3.525 percent per year in the United States. If the spot exchange rate is 125 yens per US dollar, according to interest rate parity, what is the equilibrium one-year forward rate in US dollars per yen?

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