Question: Suppose that S = 1 8 0 / $ . The annualized risk - free rates are 4 . 6 % and 2 . 7

Suppose that S =180/$. The annualized risk-free rates are 4.6% and 2.75% in Japan and the U.S., respectively. Find the expected currency movement over the next 3 years. Do not write any symbol. Express your answers as a percentage. Make sure to round your answers to the nearest 100th decimal points.

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