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Hello Experts, Can anybody help me here? I had the following answers after computing the numbers 24.09%, 18.18% and -25% respectively. I suspect the answers
Hello Experts,
Can anybody help me here?
I had the following answers after computing the numbers 24.09%, 18.18% and -25% respectively. I suspect the answers are not correct.
If a U.S.-based firm borrows 1,500,000 for one year at 5.00% and during the year the euro depreciates from an initial rate of $1.30/ to $1.10/, what is the dollar cost of this debt? Your answer: ________________% If a U.S.-based firm borrows 1,500,000 for one year at 5.00% and during the year the euro depreciates from an initial rate of $1.30/ to $1.10/, what is the foreign exchange transaction cost for the firm? Your answer: ________________% If a Brazil-based firm borrows $2 million for two years at 5.00% and during the period the dollar appreciates from R$2.00/$ to R$2.80/$, what is the annualized R$ cost of this debt? Your answer: ________________%Step by Step Solution
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