Suppose that the term structure of risk-free interest rates is flat in the United States at 4% per annum and at 7% per annum in Australia. The current value of the AUD is 0.71 USD. Under the terms of a swap agreement, a company pays 6% per annum in AUD and receives 10% per annum in USD. The principals in the two currencies are $14 million USD and 20 million AUD. Payments are exchanged every year. The swap has a remaining life of 18 months. Currency swaps can be valued as a long position in one currency bond and a short position in another currency bond. At the same time, it can also be valued as a portfolio of forward foreign exchange agreements. Verify that both methods give the same answers of the value of the swap to the company