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AU.S. firm is interested in acquiring a Malaysian company in the electronics industry. Suppose the U.S. and Malaysian markets are segmented. Let MS stand for

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AU.S. firm is interested in acquiring a Malaysian company in the electronics industry. Suppose the U.S. and Malaysian markets are segmented. Let MS stand for the Malaysian currency, Ringgit. Information relevant to the cost-of-capital calculations are as follows: B US Market (Malaysian Market (MS) 0.6 1.00 10% Assume Uncovered interest Parity (UIP holds. What is the cost of capital in M$ to US investors

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