Let's assume that the current exchange rate is $1.08/euro and that after one year the...
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Accounting
Let's assume that the current exchange rate is $1.08/euro and that after one year the exchange rate is expected to be $1.14/euro. The interest rate of the $ is 3.5% The annual interest rate of the euro is 2.8% What is the return of the American who invests 1,000,000 in the European market
a.8.51%
b.-8.51%
c.9.25%
d.-9.25%
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