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Please answer asap! Will thumbs up answer. XYZ company in U.S. has an account payable (A/P) in the amount of 8,000,000 due in 180 days.
Please answer asap! Will thumbs up answer.
XYZ company in U.S. has an account payable (A/P) in the amount of 8,000,000 due in 180 days. Given the information below. if XYZ adopts the money market hedge, it needs to - Spot rate (/$) - 120.00 - 180 day forward rate (/$) - 117.50 $ investment/lending rate - 9.00% $ borrowing rate = 10,00% - investment/lending rate -5.00% - * borrowing rate 6.00% lend X7.619.047.62 now borrow W7,804,878.05 now Oborrow 7,766.990.29 180 day from now barrow X7,547.169.81 now o lend 7.804,878,05. nowStep by Step Solution
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