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You have a 40,000,000 payable. The spot rate is $0.0089/. The Japanese deposit interest rate is 0.6% and the U.S. borrowing interest rate is 2.5%.
You have a 40,000,000 payable. The spot rate is $0.0089/. The Japanese deposit interest rate is 0.6% and the U.S. borrowing interest rate is 2.5%. Calculate the dollar amount of a money market hedge.
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Public Finance In A Changing World
Authors: Peter Birch Sorensen
1998th Edition
0333682211, 978-0333682210
