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I want the correct answers as soon as possible, and please write the question with the answer, eg 1/B. 6. Suppose that today's exchange rate

I want the correct answers as soon as possible, and please write the question with the answer, eg 1/B.

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6. Suppose that today's exchange rate (quoted in American terms) is $1.20 per euro, but that you expect the rate to be $1.265 per euro in a year. Suppose also that the dollar interest rate is 6 percent per year while the euro interest rate is 8 percent per year. What is the dollar rate of return on euro deposits? Use the simple rule of calculation. approx. 13.4 percent approx. 114 percent approx. 8.1 percent

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