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It is now Jan 8, 2021 and an investor wants to lock in an interest rate on $7m for 3 months starting on June
It is now Jan 8, 2021 and an investor wants to lock in an interest rate on $7m for 3 months starting on June 20, 2021. Jun 2021, 3- mth Eurodollar futures are available at 97.89. At June 20, 2021, LIBOR is 1%. What effective interest rate is the investor able to lock in?
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Multinational Business Finance
Authors: David K. Eiteman, Arthur I. Stonehill, Michael H. Moffett
14th edition
133879879, 978-0133879872
