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Sun Bank USA has purchased a 40 million one-year Australian dollar loan that pays 11 percent interest annually. The spot rate of US. dollars for

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Sun Bank USA has purchased a 40 million one-year Australian dollar loan that pays 11 percent interest annually. The spot rate of US. dollars for Australian dollars (AUD/USD) is \$0.625/AS1. it has funded this loan by accepting a British pound (BP)-denominated deposit. for the equivalent amount and maturity at an annual rate of 9 percent. The current spot rate of U.S. dollars for British pounds (GBPIUSD) is $1.60/c1. o. What is the net interest income earned in dollars on this one-year transaction if the spot rate of U.S. dollars for Australian dollars and US dollars for BPS at the end of the year are \$0.588/A \$1 and \$1.850/E1, respectively? (Negative omount should be indicated by a minus sign. Do not round intermediate colculations. Enter your answers in dollors, rather than in millions of dollars. Round your final answer to the nearest whole dollar. (e.g., 32)) b. What should the spot rate of U.S. dollars for BPs be at the end of the year in order for the bank to eam a net interest income of $300,000 (distegarding any change in principal values)? (Round your answer to 5 decimal places. (e.g., 32.16161))

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