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XYZ has positive FCFs and a perpetual growth rate of 5. Return isted CROCY fixed at 20% and the WACCS 20% XYZ would double its
XYZ has positive FCFs and a perpetual growth rate of 5. Return isted CROCY fixed at 20% and the WACCS 20% XYZ would double its reinvestment rateplowbaci and nothing else changed, what will happen to its Continuing Value CVI Multiple Choice The CV will be unchanged The CV will The u more than doube The cv will decimetry coloxmatery 25% The spot exchange rate $10/fc. The foreign interest rate is 8% and the US interest rate is 2%. If the futures price the foreighn currency is $$9.65, is there an arbitrage opportunity? If yes, would you go long or short in futures on the foreign currency? Multiple Choice A There is no arbitrage B. Yes, long C. Yes, short D. Yes, but I will take no position in futures
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