The real risk free rate of return is 3 assume parity holds
The spot price to purchase one Euro is $1.40, the U.S. riskfree rate is 4% and the German Inflation rate is 7%. The real risk free rate of return is 3%. Assume parity holds. What is the expected price to purchase one euro at year end?
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the spot price to purchase one euro is 140 the us riskfree rate is 4 and the german inflation rate is 7 the real risk
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