Suppose the spot exchange rate for the hungarian forint is


Suppose the spot exchange rate for the Hungarian forint is HUF204.34. The inflation rate in the United States is 1.6 percent per year and is 4.6 percent in Hungary. What do you predict the exchange rate will be in one year? two years? five years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

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Financial Management: Suppose the spot exchange rate for the hungarian forint is
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