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Your company wants to swap out of $5 million debt into equivalent euro debt. The current exchange rate is $1.5/. The annual interest rates are

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Your company wants to swap out of $5 million debt into equivalent euro debt. The current exchange rate is $1.5/. The annual interest rates are 5% for dollars and 3% for euros. Interest payments are semiannual. In 6 months, the spot rate turns out to be equal to the forward rate at the beginning of the swap (and the Covered Interest Rate Parity holds). What net amount is transferred under the swap agreement by your company (in euros) or to your company (in dollars) in 6 months from the beginning of the swap? Select one: A. $49,261 B. 49,261 C. $97,087 D. 97,087 E. 50,000

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