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As of today, the spot exchange rate is 1.00 = $1.20, and the rate of inflation expected to prevail for the next year in the

As of today, the spot exchange rate is 1.00 = $1.20, and the rate of inflation expected to prevail for the next year in the U.S. is 2% and 3% in the eurozone. What is the one-year forward rate that should prevail?

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