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Can someone help me answer the following questions? Assume that the price of an identical pair of shoes is 80 Canadian dollars (CAD) in Canada,

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Can someone help me answer the following questions?

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Assume that the price of an identical pair of shoes is 80 Canadian dollars (CAD) in Canada, 60 euros (EUR) in Germany, and 75 US dollars (USD) in the US. Assume also that the nominal exchange rates are as follows: 0.85 USD/CAD, and 0.6 EUR/CAD. a) Calculate the real exchange rate between Germany and Canada, and that between the US and Canada. b) Compute the net profit (or loss) in Canadian dollars resulting from buying 115 pairs of shoes in Canada and selling them in Germany. c) Calculate the nominal exchange rate between Germany and the US (Euros per one USD). d) Compute the net profit (or loss) in Canadian dollars resulting from buying 115 pairs of shoes in the US and selling them Germany. e) Compute the net profit (or loss) in Canadian dollars resulting from buying 115 pairs of shoes in Canada and selling them in the US. f) Assume that the purchasing power parity holds. Compute the nominal US/Canada exchange rate (American dollars per one Canadian dollars)

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