Question: Question 1 20 pts Consider two different countries, Country A and Country B. Country As currency is aoa and Country By currency is bob. Today's

Question 1 20 pts Consider two different countries, Country A and Country B. Country As currency is aoa and Country By currency is bob. Today's exchange rate is 1-24 bobs Suppose that iPhone 12 is currently selling at 200 oas in Country A and 480 bobs in Country B. Under the assumption that the purchasing power party (PPP) exactly holds, if only Country As inflation significantly increases how wil this affect the exchange rate and the price of Phone 12 ust explain with no calculations ignoring any other economic effect

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