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You are given the following data: the spot exchange rate is CZK/USD 21; the p.a. simple interest rate on a three-month deposit is 8 percent

You are given the following data: the spot exchange rate is CZK/USD 21; the p.a. simple interest rate on a three-month deposit is 8 percent in the Czech Republic and 6 percent in the US. Compute:

(i) The time-T USD value of a USDt 1 investment

(ii) The time-t CZK value of a CZKT 1 loan

(iii) The forward rate for a three-month forward contract

(iv) The time-T CZK proceeds from a USDT 1 forward sale, given the forward rate computed in (iii)

(v) The present value of the proceeds in question (iv)

(vi) The time-t CZK value of a USDt1 spot sale

(vii) The value, in CZKt, of the proceeds of a USDT1 loan

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