Question

. Suppose that the interest rate on dollar accounts is equal to 2% (-0.02), the interest rate on Polish zloty accounts is equal to 4.58 -0.045), and the expected exchange rate between the dollar and the zioty one year from now is -4US. Assume that the uncovered) interest parity holds

Find the spot exchange rate e (Answer in zi/% and round to the nearest tenth.)

Answer 1

Answer:

ok I know that

Explanation:

(Choice A)

A

-\dfrac{8}{5}−

5

8Suppose that the interest rate on dollar accounts is equal to 2% (-0.02), the interest rate on Polish zloty accounts is equal to 4.58 -0.045), and the expected exchange rate between the dollar and the zioty one year from now is -4US. Assume that the uncovered) interest parity holds

Find the spot exchange rate e (Answer in zi/% and round to the nearest tenth.)