Morning Star Air (China). Morning Star Air, headquartered in Kunming, China, needs US$24,000,000 for one year to finance working capital. The airline has two alternatives for borrowing: a. Borrow US$24,000,000 in Eurodollars in London at 7.30% per annum b. Borrow HK$ 183.981.600 in Hong Kong at 7.00% per annum, and exchange these Hong Kong dollars at the present exchange rate of HK$7.6659/US$ for US dollars At what ending exchange rate would Morning Star Air be indifferent between borrowing US. dollars and borrowing Hong Kong dollars? Morning Star Air would be indifferent between borrowing U.S. dollars and borrowing Hong Kong dollars if the ending exchange rate is HKS decimal places.) USS. (Round to four