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A company is looking to invest $10 million for 180 days in the Eurodollar market. The annual return on 180-day Eurodollar deposit is currently 5.5%.

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A company is looking to invest $10 million for 180 days in the Eurodollar market. The annual return on 180-day Eurodollar deposit is currently 5.5%. The annual return on 90-day Eurodollar deposit is currently 5.2%. There is also a Eurodollar futures contract expiring in 90 days. The futures contract is currently at an IMM index of 93.75 What annual rate of investment can the company lock-in for the three-month period starting three months from now (day 90 to day180) by buying forward contracts

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