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A five - year, 9 . 0 percent Euroyen bond sells at par. A comparable risk five - year, 1 0 . 5 percent yen

A five-year, 9.0 percent Euroyen bond sells at par. A comparable risk five-year, 10.5 percent yen per dollar dual currency bond pays $843.33 at maturity. It sells for 110,000. What is the implied per $ exchange rate at maturity? Hint: The dual-currency bond pays 10.5 percent interest on a notional value of 100,000, whereas the par value of the bond is not necessarily equivalent to 100,000.

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