What market believes franc will appreciate against krone

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Problem 1: A 15000 Danish Krone with a 5000 Krone coupon is trading at 18000 Krone and a 2000 Swiss Franc bill with a 200 Franc coupon is trading for 2100. Both mature in 1 year. If uncovered interest parity holds, the market believes the Franc will appreciate against the Krone by approximately _____ % in a years' time.

Reference no: EM132942296

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