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Suppose the spot and three-month forward rates for the yen are 127.32 and 131.23, respectively....

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Accounting

Suppose the spot and three-month forward rates for the yen are 127.32 and 131.23, respectively. What would you estimate is the difference between the annual inflation rates of the United States and Japan?

12.86%

12.35%

3.07%

-11.40%

13.37%

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