Question: 1 . Suppose that S = $ 1 . 1 0 4 5 / . The annualized inflation rates are 2 . 6 % and
Suppose that S $ The annualized inflation rates are and in the US and Germany, respectively. Find the exact expected currency movement for the euro in years. Do not write any symbol. Express your answers as a percentage. Make sure to round your answers to the nearest th decimal points. For example, write for Suppose that S $ The annualized riskfree interest rates are and in the US and Germany, respectively. The inflation rate in the US is Find the exact expected exchange rate for the euro in one year. Do not write any symbol. Make sure to round your answers to the nearest th decimal points. For example, write for $
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