The beautiful, mythical country of Coloradial uses the teo as its currency, and the gritty, post-industrial country of Oheo uses the eren. Exactly one year ago you could get 100 teos in exchange for 5 erens in the foreign exchange market. Since then, though, the real interest rate in Coloradial has increased, while staying constant in Oheo.

One year ago, you borrowed 100,000 teos from a Coloradial bank at a rate of 3% per year. You then traded the 100,000 teos for erens at the nominal exchange rate which prevailed at the time (100 teos = 5 erens), and invested those erens in Oheo at 5% in

Question

The beautiful, mythical country of Coloradial uses the teo as its currency, and the gritty, post-industrial country of Oheo uses the eren.  Exactly one year ago you could get 100 teos in exchange for 5 erens in the foreign exchange market.  Since then, though, the real interest rate in Coloradial has increased, while staying constant in Oheo.

One year ago, you borrowed 100,000 teos from a Coloradial bank at a rate of 3% per year.  You then traded the 100,000 teos for erens at the nominal exchange rate which prevailed at the time (100 teos = 5 erens), and invested those erens in Oheo at 5% in

anonymous · Answer

Does the question have an ending?  I think I know where it's going.