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show work please Suppose you observe a spot exchange rate of $1.0500/. If interest rates are 3% APR in the U.S. and 5% APR in
show work please
Suppose you observe a spot exchange rate of $1.0500/. If interest rates are 3% APR in the U.S. and 5% APR in the euro zone, what is the no-arbitrage 1-year forward rate? Given Answer: c. $1.0704/ Correct Answer: a. $1.0300/ Step by Step Solution
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