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b) From the excess return formula, calculate the breakeven point knowing the following information: - Spot (or cash) exchange rate = $1.61/. -Investment of $10000
b) From the excess return formula, calculate the breakeven point knowing the following information:
- Spot (or cash) exchange rate = $1.61/.
-Investment of $10000 for one year.
-U.S. interest = 7.90% p.a.:
-GBP interest = 12.12% p.a.:
-Table of normal law
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