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Suppose Dina (a U.S. investor) purchases a 35-day Eurocommercial paper with a par value of 1,000,000 Brazilian reals for a price of 996,000 Brazilian reals.

Suppose Dina (a U.S. investor) purchases a 35-day Euro–commercial paper with a par value of 1,000,000 Brazilian reals for a price of 996,000 Brazilian reals. If the real is worth $0.22, the spot rate is anticipated to be $0.235400 per real at the end of maturity, and Dina holds the Euro–commercial paper until then, assuming a 360 day year, calculate  the effective yield.

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