Problem 6 Declared interest rates in Germany and Greece are 3.25 % and 3.1% respectively. Levels of expected inflation in both countries are 2.44% and 3.1 %. Are real interest rates in these countries equal? Problem 7 Nominal interest rate in the USA equals 5.5 %. Expected levels of inflation in the USA and Ukraine are 2% and 14% respectively. What should the nominal interest rate in Ukraine be so that the real interest rates would be equal in both countries? Problem 8 Assume an MNE exporting medications from Israel to the USA. This transaction implies that a payment of 200,000 USD will be received in 3 months. Considering this the MNE faces the risk of Israeli new shekel appreciation against the USD. Construct the money market hedge that is to cover this type of risk and explain each transaction of this hedge, given the following inputs: (ILS/USD) so = 3.7612. (ILS/USD) F3 = 3.7214. rIL = 4.5%. rus = 5.5%.