Based on the information listed below, one can conclude that
uncovered interest rate parity holds. Data: current spot exchange rate
is $1.00/euro; the spot exchange rate expected in 180 days is
$1.05/euro; the interest rate on 180-day euro-denominated CD at
SociétéGénérale is 2%; and, the interest rate on 180-day U.S.
dollar-denominated CD at Chase is 7%. (Use the approximation formula.)