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    Exam 9: Forecasting Exchange Rates
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    If the One-Year Forward Rate for the Euro Is $1
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If the One-Year Forward Rate for the Euro Is $1

Question 18

Question 18

Multiple Choice

If the one-year forward rate for the euro is $1.07, while the current spot rate is $1.05, the expected percentage change in the euro is ____ percent.


A) 1.90
B) 2.00
C) -1.87
D) None of these are correct.

Correct Answer:

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