Suppose that you buy, and one year later sell, a foreign (British) bondLOADING... under the following circumstances: When you buy the bond the exchange rate is $ = 1. You pay ($) for the British bond. You sell the bond for . No interest payment was expected or received. When you sell the bond, the exchange rate is $1.75 = Euro 1
You pay 45 Euros ($78.75) for the british bond
You sell the bond for 50 Euros, No interest payment was expected or received
When you sell the bond, the exchange rate is $1.45=1 euro
Required:
What is your gain or loss in dollars?
Answers: 2
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Suppose that you buy, and one year later sell, a foreign (British) bondLOADING... under the follo...
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