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Suppose you have $100,000 and the exchange rate between the dollar and the yen in the one-year forward market is e f = 80/$. If

Suppose you have $100,000 and the exchange rate between the dollar and the yen in the one-year forward market is ef = 80/$. If the interest rates on the one-year dollar and yen bonds are i$ = 0.02 and i = 0.01, what spot exchange rate (yen per dollar) makes you indifferent between buying dollar bond and the yen bonds?

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