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3. A firm forecasts the euro's value as follows for the next year: Possible Percentage Change Probability 10% -2% 3% 6% 50% 40% The annual

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3. A firm forecasts the euro's value as follows for the next year: Possible Percentage Change Probability 10% -2% 3% 6% 50% 40% The annual interest rate on the curo is 7 percent. The expected value of the effective financing rate from a U.S. firm's perspective is about

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