You are given the following data:

1-year nominal risk free rate in dollar area(I_USD )=5.053%

1-year nominal risk free rate in JPY area(I_{JPY )=}8.158%

Real risk free rate = 3.5%

Current spot exchange rate: =JPY115.60/USD

(1) How much is the 1-year forward exchange rate according to Interest Rate Parity?

(2) What is the forward premium/discount on JPY?

(3) How much is the expected spot exchange rate in 1-year according to Purchasing Power Parity?

(4) What is the forecast percentage change in the spot rate of JPY?