Use the following macro info on the current issue of the Economist to answer next three questions: Formulas: S2 = S1 x [(1 + pi^)/(1 + pi^$) Forward (90-day) = Spot x [(1 + i^3month)/(1 + i%$ 3month)] (3-month interest rates adjusted for a 90-day period) Use the current spot rates. What is the cross exchange rate between Russian ruble (Rub) and Chinese RMB, i.e. Rub/RMB? A) RMB 8.89/Rub B) Rub 8.89/RMB C) RMB 9.60/Rub D) Rub 9.60/RMB PPP forecast. Using the theory of PPP, and assuming that forecasted changes in consumer prices are the best measures of expected inflation, forecast the following spot exchange rate one year into the future: Russian ruble/US dollar (Rub/$) A) Rub 65.51/$ B) Rub 65.38/$ C) Rub 63.23/$ D) Rub 61.29/$ Use the spot rates and 90-day market interest rates listed, calculate the 90-day forward rate for the following exchange rate: Mexican peso/US dollar (Peso/$) A) Peso 17.73/$ B) Peso 16.75/$ C) Peso 17.75/$ D) Peso 16.8/$