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Emerald Energy is an oil exploration and production company that trades on the London stock market. Over the past year, the stock has enjoyed a

Emerald Energy is an oil exploration and production company that trades on the London stock market. Over the past year, the stock has enjoyed a 20 percent return in pound terms, but over the same period, the exchange rate has fallen from $2.00 = 1 to $1.80 = 1. Calculate the investor's annual percentage rate of return in terms of the U.S. dollars.

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