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An American-based company plans to finance in Brazilian reals. The interest rate will be 15%. It has used a currency contract to lock in a

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An American-based company plans to finance in Brazilian reals. The interest rate will be 15%. It has used a currency contract to lock in a 10% depreciation of the real vs. the USD. What is the effective interest rate it will pay: 26.5% 15.5% 5.0% 25.0%

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