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Assume that P is a dollar value of a Russian asset, S is the dollar / ruble exchange rate. The covariance between the dollar value

Assume that P is a dollar value of a Russian asset, S is the dollar / ruble exchange rate. The covariance between the dollar value of the asset and the exchange rate Cov (P, S) = 10, and the variance of the exchange rate Var (S) = 2. Which of the following is the result of computation of the exposure coefficient?

a) 12

b) 8

c) 5

d) 0.2

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