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the expected spot rate in 180 days is assumed to be 2 50235/Rs? 2 4388/Rs? 2.6168/Rs? arke - - X rket gen Data table Spot

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the expected spot rate in 180 days is assumed to be 2 50235/Rs? 2 4388/Rs? 2.6168/Rs? arke - - X rket gen Data table Spot rate 2.50235/Rs 2.4388/RS ne e 180-day forward rate Expected spot, 180 days 2.6168/R 180-day Indian rupee investing rate 8.25% 180-day Japanese yen investing rate 3.24% the e 5.47% Currency agent's exchange rate fee P&G India's cost of capital 12.09% Click on the icon located on the top-right corner of the data table in order to copy its contents into a spreadsheet. Print Done marke arket agen the expected spot rate in 180 days is assumed to be 2 50235/Rs? 2 4388/Rs? 2.6168/Rs? arke - - X rket gen Data table Spot rate 2.50235/Rs 2.4388/RS ne e 180-day forward rate Expected spot, 180 days 2.6168/R 180-day Indian rupee investing rate 8.25% 180-day Japanese yen investing rate 3.24% the e 5.47% Currency agent's exchange rate fee P&G India's cost of capital 12.09% Click on the icon located on the top-right corner of the data table in order to copy its contents into a spreadsheet. Print Done marke arket agen This question: 20 point(s) possible P&G India Procter and Gamble's affiliate in India, P&G India, procures much of its toiletries product line from a Japanese company. Because of the shortage of working capital in India, payment terms by Indian importers are typically 180 days or longer. P&G India wishes to hedge an 8 million Japanese yen payable. Although options are not available on the Indian rupee (Rs), forward rates are available against the yen. Additionally, a common practice in India is for companies like P&G India to work with a currency agent who will, in this case, lock in the current spot exchange rate in exchange for a 5.47% fee Using the exchange rate and interest rate data in the popup window.compare alternate ways below that P&G India might deal with its foreign exchange exposure. Assume a 360-day financial year a. How much in Indian rupees will P&G India pay in 180 days without a hedge if the expected spot rate in 180 days is assumed to be 2.50235/Rs? 2 4388/Rs? 2.6168/Rs? b. How much in Indian rupees will P&G India pay in 180 days with a forward market hedge? c. How much in Indian rupees will P&G India pay in 180 days with a money market hedge? d. How much in Indian rupees will P&G India pay in 180 days with a currency agent hedge? e. What do you recommend? a. How much in Indian rupees will P&G India pay in 180 days without a hedge if the expected spot rate in 180 days is assumed to be 2.50235/Rs? Rs 3 196995 (Round to the nearest whole number.) How much in Indian rupees will P&G India pay in 180 days without a hedge if the expected spot rate in 180 days is assumed to be 2.4388/Rs? Rs (Round to the nearest whole number.) How much in Indian rupees will P&G India pay in 180 days without a hedge if the expected spot rate in 180 days is assumed to be Y2 6168/Rs? Rs (Round to the nearest whole number) b. How much in Indian rupees will P&G India pay in 180 days with a forward market hedge? Rs (Round to the nearest whole number) c. How much in Indian rupees will P&G India pay in 180 days with a money market hedge? Rs (Round to the nearest whole number) d. How much in Indian rupees will P&G India pay in 180 days with a currency agent hedge? Rs (Round to the nearest whole number)

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