Currently you can exchange 100 for euro9725 the inflation


Currently, you can exchange $100 for €97.25. The inflation rate in Euroland is expected to be 3.8 percent as compared to 2.1 percent in the U.S. Assuming that relative purchasing power parity exists, what should the exchange rate be four years from now?

€0.7042/$1
€0.7414/$1
€0.7670/$1
€0.9890/$1
€0.1.0403/$1

 

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Finance Basics: Currently you can exchange 100 for euro9725 the inflation
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