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Question 66 (3 points) A capital budgeting project has expected cash flows for years zero through six of -100, 55, 35, 40, 20, 15, 75.

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Question 66 (3 points) A capital budgeting project has expected cash flows for years zero through six of -100, 55, 35, 40, 20, 15, 75. The risk adjusted cost of capital is 12%. What is the payback period for this project? 3.75 years 2.75 years 3.25 years 2.25 years If $1.00 may be exchanged for 24.44 Mexican pesos in the spot market, and the annual riskless rate in the United States is 1.20% and the annual riskless rate in Mexico is 4.00%, what is the 90-day forward exchange rate between the Mexican peso and the dollar if interest rate parity applies? 24.51 Mexican pesos per $1.00 24.61 Mexican pesos per $1.00 24.27 Mexican pesos per $1.00 24.68 Mexican pesos per $1.00

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