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17) Suppose that the swap that you proposed is now 4 years old (i.e., there is exactly one year to go on the swap). The

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17) Suppose that the swap that you proposed is now 4 years old (i.e., there is exactly one year to go on the swap). The fourth payment has already been made. If the spot exchange rate prevailing in year 4 is $1.8778=1 and the 1-year forward exchange rate prevailing in year 4 is $1.95=1, what is the value of the swap to the party paying dollars? If the swap were initiated today the correct rates would be as shown

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