Suppose that there are two countries, the us (which is the foreign country) and Canada. The exposure

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Suppose that there are two countries, the us (which is the foreign country) and Canada. The exposure of the company XUS, in terms of usd, is estimated as follows:

What is the company's exposure in terms of cad?

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International Finance Putting Theory Into Practice

ISBN: 978-0691136677

1st edition

Authors: Piet Sercu

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Question Posted: Aug 07, 2017 09:46 AM

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Suppose that there are two countries, the us (which is the foreign country) and Canada. The exposure

Question:

ř* xus = 0.12 +0.30 š USD/CAD + ě

Step by Step Answer:

Over short periods the percentage change in the cad usd rate is approximately e...View the full answer

International Finance Putting Theory Into Practice

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