Problem $8-9($Algo$)$ Foreign borrowing $[$LO$8-2]$

Gulliver Travel Agency thinks interest rates in Europe are low. The firm borrows euros at $8$ p period, the dollar falls $11$ percent against the euro. What is the effective interest rate on the lo fall in the value of the dollar as well as the interest payment.$)$

Note: Compute your answer from a U$.$S$.$ perspective. Input your answer as a whole percen

Effective interest rate

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