If purchasing power parity holds what should be the price, Financial Management

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If purchasing power parity holds what should be the price

A television set sells for $1,000 U.S. dollars. In the spot market, $1 =110 Japanese yen. If purchasing power parity holds, what should be the price (in yen) of the same television set in Japan?

a. 80,000 yen

b. 90,000 yen

c. 100,000 yen

d. 110,000 yen

e. 120,000 yen

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