Consider the situation of firm A and firm B. The current exchange rate is $1.50/. Firm A is a U.S. MNC and wants to borrow 40 million for 2 years. Firm B is a French MNC and wants to borrow $60 million for 2 years. Their borrowing opportunities are as shown; both firms have AAA credit ratings. If firm A could use the forward exchange markets to redenominate a 2-year $60m7 percent USD loan into a 2-year euro denominated loan, what would be the interest rate