asts Assume Advanced Questions 19. Probability Distribution of Forecasts A. that the following regression model was applied historical quarterly data: @ = 2 + a,INT, + a INF:-1 + EU where e = percentage change in the exchana rate of the Japanese yen in period INT, = average real interest rate differential (U.S. interest rate minus Japanese interest rate) over period t INF-1 = inflation differential (U.S. inflation rate minus Japanese inflation rate) brood in the previous period do ay, az = regression coefficients assins W error term Sro St D o &o= .0 Assume that the regression coefficients were estimated as follows: 9 x 2017 otonda basd Sin 701 Scott bollob od 1 lados 15 ans ou az = .8 svo ol bond bow boing on Also assume that the inflation differential in the most recent period was 3 percent. The real interest rate dif- ferential in the upcoming period is forecasted as follows: 51519x9 gabacool Tot INTEREST RATE DIFFERENTIAL PROBABILITY 30% If Stillwater, Inc., uses this information to forecast the Japanese yen's exchange rate, what will be the probability distribution of the yen's percentage change over the upcoming period