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Question 13 lots An American firm is owed €6,000,000.00 payable in one year. The current spot it$1.5833 / €. A European
Posted: Sun May 08, 2022 10:38 am
by answerhappygod
- Question 13 Lots An American Firm Is Owed 6 000 000 00 Payable In One Year The Current Spot It 1 5833 A European 1 (21.41 KiB) Viewed 19 times
Question 13 lots An American firm is owed €6,000,000.00 payable in one year. The current spot it$1.5833 / €. A European Bank is paying 4.50% on deposits or will lend at 9.50%. A U.S. bank is paying 2.00% or will end at 3.00%. The firm will hedge this exposure with money market hedging. How much will they get in one year? O $8.935,884.92 O $8,849.128.76 $9.784,794.00 None of the alternatives $8,675,616.43