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Pppt and Irpt

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Pppt and Irpt

  • This topic has 1 reply, 2 voices, and was last updated 7 years ago by AvatarJohn Moffat.
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  • May 22, 2018 at 2:29 pm #453147
    Avataradurich
    Member
    • Topics: 127
    • Replies: 120
    • ☆☆☆

    What does pppt determine

    Future spot exchange rates ? Am I right

    And what does Irpt determine ??

    Future exchange rate ??? ….what is the difference between purchasing power and interest rate power …are these two ways to calculate same things …future spot rates ??? Can u please clarify my concept in your simple magic words as u always do !

    Thank u ..I really appreciate ur work sir ..

    May 22, 2018 at 3:55 pm #453409
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54839
    • ☆☆☆☆☆

    PPP is used to forecast future spot rates.

    IRP is used to calculate forward rates.

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