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CPI (US ) CPI (Europe) Exchange Rate
(US) (Europe)
2000 100 85 $ 1.40/€
2010 140 120 $ 1.30/€
1) Calculate inflation rates in US and Europe between 2000 and 2010.
2) According to PPP, was the € overvalued or undervalued against the $ in 2010? By how much?
question 1 what is the internal rate of return for the following project an initial outlay of 11000 resulting in a
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Use technology and information resources to research issues in financial management. Write clearly and concisely about financial management using proper writing mechanics.
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