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Question
The spot rate for the Argentine peso is $0.3600 per peso. Over the year inflation in Argentina is 10% and U.S. inflation is 4%. If purchasing power parity holds, at year-end the exchange rate should be approximately ______________ dollars per Real.
A. 0.2987
B. 0.3614
C. 0.2875
D. 0.3384
E. 0.3015
Answer
This answer is hidden. It contains 30 characters.
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