Business, 12.08.2020 04:01, wilkoASK2919

An international corporation located in Country A is considering a project in the United States. The currency in Country A, say X, has been strengthening relative to the U. S. dollar; specifically, the average devaluation of the U. S. dollar has been % per year (which is projected to continue). Assume the present exchange rate is units of X per U. S. dollar. a. What is the estimated exchange rate two years from now? b. If, instead, currency X was devaluing at the same rate (% per year) relative to the U. S. dollar, what would be the exchange rate three years from now?

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An international corporation located in Country A is considering a project in the United States. The...