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A currency Swap between A and B: During 5 years, A lends EUR 0 . 7 M at 1 0 % to B and B

A currency Swap between A and B: During

5

years, A lends EUR

0.7

M at

10 %

to B and B lends USD

1

M at

5 %

to A

.

Determine fund flows in this currency swap. Who is the winner in this contract?

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