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can you help me with these questions? no need explanation Question 7 (0.8 points) If the interest rate is 7 percent on euro-denominated assets and

can you help me with these questions? no need explanation

Question 7(0.8 points)

If the interest rate is 7 percent on euro-denominated assets and 5 percent on dollar-denominated assets, and if the dollar is expected to appreciate at a 4 percent rate against euro, for Francois the Frenchman the expected rate of return on dollar-denominated assets is%.

Question 7 options:

Question 8(0.8 points)

According to the interest parity condition, if the U.S. interest rate is 2 percent and the Japanese interest rate is 4%, and the current exchange rate is 100 yens per dollar.Then the market expects the future exchange rate to be ________ yens per dollar.

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Question 9(0.8 points)

According to the interest parity condition, if the domestic interest rate is 12 percent and the foreign currency is expected to depreciate by 2% against domestic currency.Then the foreign asset must offer an interest rate of ________ %.

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Question 10(0.8 points)

With a 10 percent interest rate on dollar deposits, a 7 percent interest rate on euro deposits, and an expected dollar appreciation of 7 percent over the coming year, the expected return on dollar deposits in terms of the dollar is ___________%

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Question 11(0.8 points)

If the interest rate on euro-denominated assets is 13 percent and it is 15 percent on peso-denominated assets, and if the euro is expected to appreciate at a 4 percent rate against peso, for Francois the Frenchman the expected rate of return on peso-denominated assets is __________ %.

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Question 12(0.8 points)

According to the interest parity condition, if the domestic interest rate is 12 percent and the foreign interest rate is 10 percent, then the expected appreciation rate of the foreign currency against the domestic currency must bepercent (put a negative sign if it is expected to depreciate).

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Question 13(0.5 points)

If the 2005 inflation rate in Canada is 4 percent, and the inflation rate in Mexico is 2 percent, then the theory of purchasing power parity predicts that, during 2005, the value of the Canadian dollar in terms of Mexican pesos will change by% (put a negative sign if it is a fall, no negative sign if it is a rise).

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Question 14(0.5 points)

According to the law of one price, if the price of Colombian coffee is 100 Colombian pesos per pound and the price of Brazilian coffee is 4 Brazilian reals per pound, then the exchange rate between the Colombian peso and the Brazilian reals is____________ pesos per real.

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Question 15(0.5 points)

According to the purchasing power parity theory, a rise in the United States price level of 5 percent, and a rise in the Mexican price level of 6 percent cause the dollar to appreciate by% (put a negative sign if it depreciates) relative to the peso.

Question 15 options:

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