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You are expecting a payment of 500,000PLN 3 years from now. The risk-free rate of return is 4 percent in the U.S. and 2 percent in Poland. The inflation rate is 4 percent in the U.S. and 1 percent in Poland. Currently,you can buy 380PLN for 100USD. How much will the payment 3 years from now be worth in U.S. dollars?
Equilibrium Quantity
At the market equilibrium price, the amount of goods or services provided matches the amount that is demanded.
Substitutes
Goods or services that can replace each other in usage, such that an increase in the price of one leads to an increase in demand for the other.
Equilibrium Quantity
The quantity of goods or services supplied and demanded at the equilibrium price in a market.
Equilibrium Price
The price point in the market where the amount of products offered meets the amount of products wanted.
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