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USD/RUB 75.70 in nominal currency exchange rate terms. The same Dell computer costs $1,350.00 in the U.S. and 102,900.00 Rubles in Russia, Please select the

USD/RUB 75.70 in nominal currency exchange rate terms. The same Dell computer costs $1,350.00 in the U.S. and 102,900.00 Rubles in Russia, Please select the best answer choice below.

I.

I would expect to pay $1,359.31 for the Dell in the U.S. The Ruble is undervalued and I am better off buying the Dell in the U.S.

II.

I would expect to pay $1,359.31 for the Dell in the U.S. The Ruble is overrvalued and I am better off buying the Dell in the U.S.

III.

I would expect to pay $1,350 for the Dell in the U.S. The Ruble is undervalued and I am better off buying the Dell in the U.S.

IV.

I would expect to pay $1,359.31 for the Dell in the U.S. The Ruble is undervalued and I am better off buying the Dell in Russia.

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