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Need help with 4,5,6 Determine the cheapest dollar price for the pairs given below. N a. 270 or CAD 350 b. CAD 175 or 120
Need help with 4,5,6
Determine the cheapest dollar price for the pairs given below. N a. 270 or CAD 350 b. CAD 175 or 120 c. 230 or AUD 145 d. AUD 175 or 300 e. 250 or 250 5 Find the following cross rates. a. Pounds (GBP) to buy 1 euro (EUR). 1. Euros to buy 1 Canadian dollar (CAD) c. Australian dollars (AUD) to buy 1 Canadian dollar d. Pounds to buy 1 Canadian dollar. e. Canadian dollars to buy 1 Euro. Suppose that the treasurer of Amazon has an extra cash reserve of $250,000,000 to invest for six months. The six-month interest rate is 6 percent per annum in the United States and 5 percent per annum in Germany. Currently, the spot exchange rate is 1.02 per dollar and the six-month forward exchange rate is 0.99 per dollar. The treasurer of Amazon does not wish to bear any exchange risk. Where should he or she invest to maximize the return? 6. 915 PMStep by Step Solution
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