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A US Financial institution lends 100 million when the /$ exchange rate is 110. the interrst rate is fixed at 9% and the loan is
A US Financial institution lends 100 million when the /$ exchange rate is 110. the interrst rate is fixed at 9% and the loan is for one year. if in a year the exchange rate is 120 to the dollar. what is the banks dollar rate of return on the loan? 5. Foreign Exchange Risk A U.S. Fl lends 4100 million when the X/$ exchange rate is X110. The interest rate is fixed at 9% and the loan is for one year. If, in a year, the exchange rate is 120 to the dollar, what is the bank's dollar rate of return on the loan
A US Financial institution lends 100 million when the /$ exchange rate is 110. the interrst rate is fixed at 9% and the loan is for one year. if in a year the exchange rate is 120 to the dollar. what is the banks dollar rate of return on the loan?
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