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The price of a Big Mac in Moscow is 107 Rubles and the same sandwich costs 49 Mexican Pesos in Mexico City. The current spot

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The price of a Big Mac in Moscow is 107 Rubles and the same sandwich costs 49 Mexican Pesos in Mexico City. The current spot rate is 0.2433 Pesos to Ruble. Based on Absolute PPP we can say which of the following statements is true? The Mexican Peso is overvalued and will appreciate versus the Ruble in the future The Mexican Peso is undervalued and will appreciate versus the Ruble in the future The Mexican Peso is correctly valued and will appreciate versus the Ruble in the future The Mexican Peso is overvalued and will depreciate versus the Ruble in the future

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