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Finance 400 Assume: (1) the US annual interest rate =8.07%;(2) the Malaysian annual interest rate =4.03%; and (3) the 67-day forward rate for the Malaysian
Finance 400
Assume: (1) the US annual interest rate =8.07%;(2) the Malaysian annual interest rate =4.03%; and (3) the 67-day forward rate for the Malaysian ringgit = $0.262. At what current spot rate will interest rate parity hold (keep 4 decimals)? Question 17 0/4 pts Suppose annual inflation rates in the US and Cambodia are expected to be 3.57% and 87.81%, respectively over the next year. If the current spot rate for the Cambodian riel (KHR) is 3,348 riels per dollar, then the best estimate of the riel's future spot rate one year from now is: Question 18 If the expected inflation rate is 3.719 and the real required return is 5.91%, what is the approximate nominal interest rate in percentage (keep 2 decimals) Step by Step Solution
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