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Toyota's Pass. Through. Assume that the export price of a Toyota Corolla from Osaka, Japan, is 42.100.000 The exchange rate is 18765/5 The forecast rate of inflation in the United States is 2.2% per year and in Japan it is 0.0% per year Use this data to answer the following questions exchange rate pass through a. What was the export price for the Corolla at the beginning of the year expressed in US dollars? b. Assuming purchasing power parity holds what should be the exchange rate at the end of the year? c. Assuming 100% exchange rate pass through what will be the dollar price of a Corolla at the end of the year? d. Assuming 75% exchange rate pass through what will be the dollar price of a Corolla at the end of the year? a. What was the export price for the Corolla at the beginning of the year expressed in US dollars? The export price for the Corolla at the beginning of the year expressed in US dollars is $(Rosind to the nearest cent) b. Assuming purchasing power party holds, what should be the exchange rate at the end of the year? Assuming purchasing power party holds the exchange rate be at the end of the year should be lis (Round to two decimal places) c. Assuming 100% exchange rate pass through what will be the dollar price of a Coronta at the end of the you? Assuming 100% exchange rate pass-through the doliat price of a Corolla at the end of the year will be $C (Round to the nearest cent) d. Assuming 75% exchange rato pass through what will be the dollar price of Coroll at the end of the year? Assuming 75% exchange rate pass-through the dollar price of a Corolla at the end of the year will be 5. Round to the nearest cent)
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