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1) solve the point a and b step by step a) Postcovid industry has an investment capital of COP $200,000,000 and wants to invest in
1) solve the point a and b step by step
a) Postcovid industry has an investment capital of COP $200,000,000 and wants to invest in an international fixed-income deposit that pays 4% per year. In addition, it has information that the Banco de la Repblica forecasts a depreciation rate of 12% and an inflation rate of 3.5%. The exchange rate is $3,500/USD. find
Nominal and real interest rates.
Nominal and real yields.
What happens to yields in pesos when it appreciates and depreciates.
b) An investment in a Mutual Fund in England earns 5% per year, in the United States it earns 8% per year and in Colombia it earns 14% per year. It is estimated that the price of the dollar will increase by 12% per year in pesos, while the price of the British pound will increase by 2% per year in dollars. Express each rate in the equivalent in pesos and select the best country to invest from Colombia
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