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If a U.S. multinational firm borrows euros for one year at 8% interest, and during the year the euro appreciates by 7% relative to the

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If a U.S. multinational firm borrows euros for one year at 8% interest, and during the year the euro appreciates by 7% relative to the dollar, the approximate before-tax cost of this debt in dollar terms is 8% O 15% O 1% O 7%

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