Suppose that Baltimore Machinery sold a drilling machine to a Swiss firm and gave the Swiss client a choice of paying either $10,400 or SF15,600 in three months Baltimore Machinery effectively gave the Swiss client a free option to buy up to $10,400 using Swiss francs What is the implied exercise exchange rate (Round your answer to 4 decimal places )

Question

Suppose that Baltimore Machinery sold a drilling machine to a Swiss firm and gave the Swiss client a choice of paying either $10,400 or SF15,600 in three months  Baltimore Machinery effectively gave the Swiss client a free option to buy up to $10,400 using Swiss francs  What is the  implied  exercise exchange rate  (Round your answer to 4 decimal places )

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Question

Suppose that Baltimore Machinery sold a drilling machine to a Swiss firm and gave the Swiss client a choice of paying either $10,400 or SF15,600

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