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Question 16 Not yet answered Marked out of K-Roo Ltd. wants to expand internationally and is looking at the Euromarkets. It has access to two
Question 16 Not yet answered Marked out of K-Roo Ltd. wants to expand internationally and is looking at the Euromarkets. It has access to two bank syndicates that are willing to back a USD 100 million, 3-year Eurodollar loan. Westpac charges a 0.82% fee and 1.36% interest. ANZ charges a 1.06% fee and {=0.01*100% interest. K-Roo Ltd. has a 9% discount rate and will make its debt payments on an annual basis. What are the present values of each loan offering? 2.00 Flag question O a. The NPV of ANZ's loan is 3.5913 million, the NPV of Westpac's loan is 4.2626 million. O b. The NPV of ANZ's loan is 3.3513 million, the NPV of Westpac's loan is 4.2626 million. O c. The NPV of ANZ's loan is 2.8957 million, the NPV of Westpac's loan is 2.8957 million. d. The NPV of ANZ's loan is 3.7432 million, the NPV of Westpac's loan is 2.8957 million. O e. The NPV of ANZ's loan is 4.0010 million, the NPV of Westpac's loan is 4.7915 million
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