Recall the covered interest parity, Financial Management

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Recall the covered interest parity

Recall the Covered Interest Parity relationship: (1+rUS) / (1+rFor) = (F1(US/For)/E0) . If the U.S. risk-free rate is 1.8%, the corresponding EMU risk-free rate is 0.5% and the current exchange rate is $1.13/euro, what is the forward/futures exchange rate?

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Financial Management: Recall the covered interest parity

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Financial Management: Recall the covered interest parity

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