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L isted below are indirect spot and one-year forward exchange rates, oominal and real interest rates and intion res Greece Drachma Denmark Krone ovaty rreny

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L isted below are indirect spot and one-year forward exchange rates, oominal and real interest rates and intion res Greece Drachma Denmark Krone ovaty rreny Lst Ye St Cent Sot .Year Fot iominal Rate Real at ofletio 1235.75 -237.12 1-559,- 240.00 3.125% 5.89 5.73 5.50 2.96% US US. S 6.2% 30% 7a) (7 points) What are the missing rates () in Greece Denmark US 7b) (3 points) Find realized nominal S appreciation against Drachma 7e) (65 points) Find realized real Krone appreciation against dollar 7d) (5 points) Forecast future spot rate assuming that the forward quotes can be extrapolated over the nest several years. Currency Current Spot f for listed foreign currency (FO EISpot in 2 Years) Krone 5.73 7e) (5 points) Forecast future spot rate assuming that the expected inflation rates will hold over the next several years. Currency rent Sp Elappreciation for listed FC) E(Spot in 2 Years) Drachma 237.12 7f) (5 points) Forecast future spot rate assuming that the expected interest rates will hold over the next several years. Currency Current Spot E(appreciation for listed FC) E(Spot in 2 Years) Krone 5.73 L isted below are indirect spot and one-year forward exchange rates, oominal and real interest rates and intion res Greece Drachma Denmark Krone ovaty rreny Lst Ye St Cent Sot .Year Fot iominal Rate Real at ofletio 1235.75 -237.12 1-559,- 240.00 3.125% 5.89 5.73 5.50 2.96% US US. S 6.2% 30% 7a) (7 points) What are the missing rates () in Greece Denmark US 7b) (3 points) Find realized nominal S appreciation against Drachma 7e) (65 points) Find realized real Krone appreciation against dollar 7d) (5 points) Forecast future spot rate assuming that the forward quotes can be extrapolated over the nest several years. Currency Current Spot f for listed foreign currency (FO EISpot in 2 Years) Krone 5.73 7e) (5 points) Forecast future spot rate assuming that the expected inflation rates will hold over the next several years. Currency rent Sp Elappreciation for listed FC) E(Spot in 2 Years) Drachma 237.12 7f) (5 points) Forecast future spot rate assuming that the expected interest rates will hold over the next several years. Currency Current Spot E(appreciation for listed FC) E(Spot in 2 Years) Krone 5.73

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