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Given the information: Inflation rate in US (th): Inflation rate in Europe (1h): The current spot rate of EUR (SR): 3.5% 8.0% $1.15 According to
Given the information: Inflation rate in US (th): Inflation rate in Europe (1h): The current spot rate of EUR (SR): 3.5% 8.0% $1.15 According to Purchasing Power Parity, one year later, the expected spot price for EUR (SR1) should be: O $1.1021 $1.2000 $1.1550 $2.2521
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