5. Effective Yield: Tallahassee Co., a US MNC, has $2 million in excess cash that it has invested in Mexico at an annual interest rate of 50 percent, yes 50% per year! The U.S. interest rate was only 8 percent per year at that time. a) By how much % would the Mexican peso have to depreciate over the next 12 months to cause such an investment strategy to backfire?3 Marks b) If the real rate of interest is 2% in both USA and Mexico what is the expected rate inflation in each country? 3 Marks 6 Marks