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Suppose you observe a spot exchange rate of $1.0500/. If interest rates are 3% per annum in the U.S. and 5% per annum in the

Suppose you observe a spot exchange rate of $1.0500/. If interest rates are 3% per annum in the U.S. and 5% per annum in the euro zone, what is the no-arbitrage one-year forward rate?

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