Forward rate. Using the spot rates and three months interest rates above, calculate the 90-day forward rates for the following: SHOW ALL WORK a. Japanese yen/U.S. dollar exchange rate b. Japanese yen/Australian dollar exchange rate c. Australian dollar/U.S. dollar exchange rate Gross Domestic Product Industrial Unemploy Forecast Forecast Production Rate Country Latest Qtr Qtr* 2007e 2008e Recent Qtr Latest Australia 4.3% 3.8% 4.1% 3.5% 4.6% 4.2% Japan 1.6% -1.2% 2.0% 1.9% 4.3% 3.8% US 1.9% 3.8% 2.0% 2.2% 1.9% 4.7% Consumer Prices Interest Rates Forecast 3-month 1-yr Govt Bond Country Year Ago Latest 2007e Latest Latest Australia 4.0% 2.1% 2.4% 6.90% 6.23% Japan 0.9% -0.2% 0.0% 0.73% 1.65% US 2.1% 2.8% 2.8% 4.72% 4.54% Trade Balance Current Account Current Units (per US$) Last 12 mos Last 12 mos Forecast 07 Country (billion $) (billion $) (% of GDP) Oct 17th Year Ago Australia -13.0 -$47.0 -5.7% 1.12 1.33 Japan 98.1 $197.5 4.6% 117 119 US -810.7 -$793.2 -5.6% 1.00 1.00 Source: Data abstracted from The Economist, October 20, 2007, print edition. Unless otherwise noted, percentages are percentage changes over one year. Rec Qtr = recent quarter. Values for 2007e are estimates or forecasts