d) As for today, assume the following information is available for the Canada and United States: Expected inflation Annualized nominal interest rate Canada 3% 7% United States 2% 5% The direct quotation of spot rate: 1USD is equivalent to C$1.42 and one-year forward rate is equivalent C$1.48. i. Does Interest Rate Parity (IRP) hold? Justify. (2 marks) ii. Explain the difference between exchange rate adjustment according to IFE and IRP concept. (2 mark) [Total: 15 marksl