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The spot exchange rate for the euro is $1.25/. The current 1 year rate are 5% in the U.S. and 6% in the eurozone. What

The spot exchange rate for the euro is $1.25/. The current 1 year rate are 5%

in the U.S. and 6% in the eurozone. What should be the 1 year forward exchange

rate for the euro? ($1.2382/)

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