Six-month t-bills have a nominal rate of 6 while, Financial Management

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Six-month t-bills have a nominal rate of 6 while

Six-month T-bills have a nominal rate of 6%, while default-free Japanese bonds that mature in 6 months have a nominal rate of 3%. In the spot exchange market, 1 yen equals $0.0088. If interest rate parity holds, what is the 6-month forward exchange rate? Round your answer to five decimal places.

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Financial Management: Six-month t-bills have a nominal rate of 6 while

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