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A U.S. company has committed to pay 10 million kronor to a Swedish company in one year. What is the cost (in present value) of

A U.S. company has committed to pay 10 million kronor to a Swedish company in one year. What is the cost (in present value) of covering this liability by buying kronor forward? The Swedish interest rate is.6%, and exchange rates are shown in Table 27.1. Briefly explain.

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