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Suppose we have the following exchange rate quotes: Spot rate6-month forward rate Great Britain ().6262.6266 Japan ()86.7786.82 Switzerland (Fr).9339.9322 Assume interest rate parity holds, and
Suppose we have the following exchange rate quotes:
Spot rate6-month forward rate
Great Britain ().6262.6266
Japan ()86.7786.82
Switzerland (Fr).9339.9322
Assume interest rate parity holds, and the current six-month risk-free rate in the United States is 1.47 percent. The six-month risk-free rate in Great Britain, Japan, and Switzerland must be______percent,_______percent, and______percent, respectively.(Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places (e.g., 32.16).)
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