Current interest rates are i_$=4%;i=6%. Expected interest rates next year are: i_$=7%;i=3%. Expected spot rate in two years is S₂($/)=1.09. Use the asset market approach to compute the current spot rate S0($/). Please just type in the number without the currency signs. For example, if your answer is $1.25/, then type in 1.25 as your final answer.

Please keep at least 2 decimal numbers (up to 5 decimal numbers).