The premiums on both pound call and put options are $.03. Th…

The premiums on both pound call and put options are $.03. The spot rate and the exercise price is $1.52. The spot rate at the time of this option expiration is expected to be $1.48. The speculators could expect to profit on which of the following: (Select all that apply.)

Assume that the U.S. inflation rate is higher than the New Z…

Assume that the U.S. inflation rate is higher than the New Zealand inflation rate. This will cause U.S. consumers to ____ their imports from New Zealand and New Zealand consumers to ____ their imports from the U.S. According to purchasing power parity (PPP), this will result in a(n) ____ of the New Zealand dollar (NZ$).