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interest rate parity recognizes that when you invest in a country other than your home country, two factors your investme nt-returns on the investment itself

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interest rate parity recognizes that when you invest in a country other than your home country, two factors your investme nt-returns on the investment itself and changes in the exchange rate. Which of the following would cause the overall return on your investment to be lower than the investment's stated return O Your home currency appreciates relative to the currency in which the investment is denominated. O The currency in which the investment is denominated appreciates relative to your home currency. O Your home currency depreciates relative to the currency in which the investment is denominated

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