Question
Chris' Fish'n'Chips will issue 90 day Bank Accepted Bills (BABs) with a face value of $150,000. The acceptance fee charged by the bank is 3%.
Chris' Fish'n'Chips will issue 90 day Bank Accepted Bills (BABs) with a face value of $150,000. The acceptance fee charged by the bank is 3%. If the market rate for 90 day BABs is 8.22% how much will Chris' Fish'n'Chips receive from the issue?
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Fundamentals of Multinational Finance
Authors: Michael H. Moffett, Arthur I. Stonehill, David K. Eiteman
5th edition
205989756, 978-0205989751
