Assume that the Uncovered Interest Parity (UIP) holds. If the rate of return on a euro asset is 22 percent and the rate of return on a comparable dollar asset is 55 percent, the expected rate of dollar depreciation must be
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Ответ:
33
Explanation:
The expected rate of return of dollar = return on comparable dollar asset - return rate on euro asset
= 55 - 22
= 33
Ответ:
The answer is rate 33. Therefore,
Refer below for the explanation.
Explanation:
As per the question,
Euro asset is 22 percent and the rate of return on a comparable dollar asset is 55 percent,
Return on comparable dollar asset - return on euro asset
= 55% - 22%
= 33 expected rate
Ответ:
B on EDG
Explanation:
yesur