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Assume that the Swiss franc has an annual interest rate of 10% and is expected to depreciate by 4% against the dollar over the year.

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Assume that the Swiss franc has an annual interest rate of 10% and is expected to depreciate by 4% against the dollar over the year. From a U.S. perspective, the effective financing rate from borrowing francs for one year is: 0.5.6% 14.4%. O 6.5%. O 6%, O 14%

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