Last year, on April 24 you borrowed 17.3 million euro from a bank in Amsterdam at 6.5

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Question:

Last year, on April 24 you borrowed 17.3 million euro from a bank in Amsterdam at 6.5 percent and wired it to your affiliate in Mexico, who in turn converted the entire amount into peso immediately. Today, exactly one year later, the payment in euro is due and is expected to be wired out directly from your affiliate's peso budget from Mexico City. During this period, the euro relative to peso appreciated 12.2 The effective cost of this debt to your affiliate is: (Hint: Express cost of debt in percentage).

A. None of the answers in this question is correct.

B. 7.55 %

C. 15.82 %

D. 19.49 %

E. 11.62 %