Intro The current exchange rate between the dollar and euro is $1.11 per euro. The nominal...
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Intro The current exchange rate between the dollar and euro is $1.11 per euro. The nominal annual risk-free rate is 3% in the U.S. and 0.8% in Europe. Part 1 Attempt 3/10 for 10 pts What should be the one-year forward premium according to interest rate parity? 4+ decimals Submit Part 2 Attempt 1/10 for 10 pts. What should be the one-year forward rate according to interest rate parity (in dollars per euro)? 2+ decimals Intro The current exchange rate between the dollar and euro is $1.11 per euro. The nominal annual risk-free rate is 3% in the U.S. and 0.8% in Europe. Part 1 Attempt 3/10 for 10 pts What should be the one-year forward premium according to interest rate parity? 4+ decimals Submit Part 2 Attempt 1/10 for 10 pts. What should be the one-year forward rate according to interest rate parity (in dollars per euro)? 2+ decimals
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