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at interest rate parity holds. In both the spot market and the 90-day forward market, I Japanese yen equals 0.0086 dollar. In Japan, 90-day risk-free securities yield (17-7) Assume th st Rate Parity 4.6%, what is the yield on 90-day risk-free securities in the United States? (27-8) In the spot market, 7.8 pesos can be exchanged for 1 U.S. dollar. A pair of headphones Purchasing costs $15 in the United States. If purchasing power parity holds, what should be the price Power Parity of the same headphones in Mexico