Market observes the "exchange rates" as of today: ($0$1)=0.95, ($0$2)=0.89 What is the implied (per period) interest rate between time t=0 and t=2 ? Part 2 - Attempt 1/3 for 10 pts. Now there is a project with three certain cashflows: CF0=$10MM,CF1=$5MM,CF2=$7MM. What is NPV0 ? Attempt 1/3 for 10 pts. How much is CF1 worth at t=2 ? Market observes the "exchange rates" as of today: ($0$1)=0.95, ($0$2)=0.89 What is the implied (per period) interest rate between time t=0 and t=2 ? Part 2 - Attempt 1/3 for 10 pts. Now there is a project with three certain cashflows: CF0=$10MM,CF1=$5MM,CF2=$7MM. What is NPV0 ? Attempt 1/3 for 10 pts. How much is CF1 worth at t=2