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24-12-2019
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The treasurer of a major U.S. firm has $36 million to invest for three months. The interest rate in the United States is .24 percent per month. The interest rate in Great Britain is .30 percent per month. The spot exchange rate is £.635, and the three-month forward rate is £.639.

What would be the value of the investment if the money is invested in the U.S and Great Britain?

a. U.S. _ $ b. Great Britain _ $

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cancinodavidq cancinodavidq

25-12-2019

Answer

The answer and procedures of the exercise are attached in the following archives.

Step-by-step explanation:

You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.

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