(1) 1 10,000 A can be exchanged for 2 million B.
(2) If you save 2 million B a year, you can get: 2 million * (1+4%) = 2.08 million B.
(3) If you deposit 1 10,000 A for one year, you can get: 1 10,000 * (1+6%) = 1.06 million A.
(4) According to the interest rate parity, the forward exchange rate is1a = 2 * (1-2%) b =1.96b (currency with high interest rate will depreciate in the future).
(5) The depreciation rate of Currency A should be 2%, which is the annual spread between the two currencies.