Investor exact dollar-denominated percentage rate of return

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1. At the start of the year, the exchange rate was $1.245/EUR. Now the exchange rate is $1.314/EUR. What is the percentage change in the value of the US dollar?

2. Suppose that US investor buys a European stock denominated in EUR. The stock return is 15.4%. over the same time period, the EUR deprecates 5.6%. what is the US investor’s exact dollar-denominated percentage rate of return?

Reference no: EM131962554

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