A. Suppose interest rate parity holds, and the current six-month risk-free rate in the United States is 1.9 percent. The six-month risk-free rate in Great Britain, Japan, and Switzerland must be ______ percent, ______ percent, and _______ percent, respectively. (Round your answers to 2 decimal places. (e.g., 32.16))

B. Suppose your company imports computer motherboards from Singapore. The exchange rate is currently 1.2839 S$/US$. You have just placed an order for 25,000 motherboards at a cost to you of 235.50 Singapore dollars each. You will pay for the shipment when it arrives in 90 days. You can sell the motherboards for $200 each.

Profit if exchange rate goes doen by 10% = $______

What is the break even exchange rate? S$_____/$

What percentage rise or fall does this represent in terms of the Singapore dollar vs. the US Dollar? = $______% change Fall