Calculate the euro-based return an Italian investor would have realized by investing €10,000 into a £50 British stock. O
Posted: Sun Apr 10, 2022 8:45 am
Calculate the euro-based return an Italian investor would have
realized by investing €10,000 into a £50 British stock. One year
after investment, the stock pays a £1 dividend, and sells for £54.
Spot exchange rates at the start and end of the year are shown in
the table.
T = 0
T = 1
Euro
1.60
1.60
Pound
2.00
2.08
realized by investing €10,000 into a £50 British stock. One year
after investment, the stock pays a £1 dividend, and sells for £54.
Spot exchange rates at the start and end of the year are shown in
the table.
T = 0
T = 1
Euro
1.60
1.60
Pound
2.00
2.08