Choose two currencies (e.g. $/ and $/) and perform Exhibit 7.4 calculations using a software of your choice (e.g. Excel). Define and explain each of the concepts you use in this exercise (e.g. definition of the mean, variance, etc.). Explain your results & screen your software results

Exhibit 14- Means of Monthly Rates of Appreciation, Forward Premiums, and the Differences Between the Two Moan Rate of Appreciation Forward Premium Difference {S.E.] [3.13.] {3.13.} Exchange Rate Conf. Cont". Cour. $f 2.114 1 .45 {1.58 (1.98} {(1.25} (2.02} 11.111 1 .1111 {1.23 $f 1.1.41 2.24 1.62 (1.93} {(1.23} {1.99} 1}. 1T 1 .1311 {1.59 f$ 2. 32 3 .31 {1.48 (2.115} {(1.23} (2.13} 11.33 1 .1111 {1. 1 E f 1.44 1.8 {1.42 (2.113} {(1.13) {2.1211} 11.52 1 .1111 {1. 16 f 2.81 3.51] {1.69 (1.154} {(1.25) [1 .631} 11.91 1.1111 {1.32 3. TD 5 .34 1 .65 (2. 29} {(1.19} (2.34} 11.39 1 .01] {1.52