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Exchange rate between the euro and the dollar

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A computer costs $630 in the United States. The same model costs 580 euros in France. If purchasing power parity holds, what is the spot exchange rate between the euro and the dollar? Do not round intermediate calculations. Round your answer to two decimal places.

$1 = euros  1.09

Purchasing power parity computer cost $630 Cost in france 580 euros spot exchange rate $1.09

PH/PF=$630/580

Reference no: EM132270486

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