Given the following information: Japan nominal interest rate: 1% USA nominal interest rate: 3% China nominal interest rate: 5% India nominal interest rate: 896 1 USA 100 Japanese Yen India nominal ininterest rate: 6% hinal un 17' USA inflation rate: 2% 1 USA = 5 Chinese Yuan 1 USA = 25 Mexico Peso 1 USA 80 Indian Rupee 5) What are the following exchange rates? 1 Japanese Yen ? USA 1 Chinese Yuan ? USA 1 Mexico Peso-? USA 1 Indian Rupee= ? USA 1 Chinese Yuan ? Japanese Yen 6) Real and inflation 6a) What is the USA real rate of return? USA Real rate = 6b) What are the predicted inflation rates in each country? Japan inflation rate: China inflation rate: Mexico inflation rate: India inflation rate: 6c) What is the theory that was used to answer 6b) Theory: 6d) What are the real rates of return in: China real rate Mexico real rate