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Can you elaboration and elucidation of these answers . I have attached the theory thanks I. PROBLEMS A. We know that the yen and the

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Can you elaboration and elucidation of these answers . I have attached the theory thanks
I. PROBLEMS A. We know that the yen and the swiss franc have a 100yen/ sf l exchange rate, meaning one swiss franc buys 100 yen in the spot ER market. The 1 year forward rate is 96 yen /swiss franc, or l franc buys 96 yen in the forward market. If the Swiss franc has an interest rate of .09, what should the yen rate be for IPT (interest parity theory) to be attained? If the yen rate were 4 would there be equilibrium? Show both amounts and differentials. B. The inflation rates in the British pound and the riyal are 2% and 8% respectively. What should the Sex /Forward ER be, if the Spot ER is riyal BP 10 Describe the concept of purchasing power. C. The interest rates in the S and the euro are 12% and 5% respectively. If the Spot exchange rate is S l/euro 1, what will the expected spot rate be, if the IFE applies? What is the meaning of IFE? Does it relate to PPP

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