Suppose the current spot rate for the Norwegian krone is $1 = NKr5.5923. The expected inflation rate in Norway Is 2.2 percent and In the U.S. 1.8 percent. A risk-free asset in the U.S. is yielding 3.4 percent. What approximate real rate of return should you expect on a risk-free Norwegian security? 1.6 percent 2.0 percent .4 percent 3.8 percent 3.0 percent