Roche (a Swiss company) is also trying to forecast future exchange rate changes between the U.S. and Switzerland. Suppose Roche has the following projections for the year 2021 as a whole:

expected inflation in Switzerland in 2021= 0.5%

expected inflation in the U.S. in 2021 = 3.0%

Given these inflation forecasts, Relative Purchasing Power Parity predicts the Swiss franc (CHF) will ______________against the U.S. dollar, and the percentage change in the #CHF/1USD spot exchange rate will be approximately equal to _____________________________

Group of answer choices

A.appreciate; -2.5%

B.appreciate; 2.5%

C.depreciate; 2.5%

D.depreciate; -2.5%