Question: I couldnt get the same answer as per my working below , can you show me how to get the same exact exact which is

 I couldnt get the same answer as per my working below

I couldnt get the same answer as per my working below , can you show me how to get the same exact exact which is 438833? Thank you

, can you show me how to get the same exact exact

BHP Billiton, an Australian Multinational Company, has borrowed fund from China for its subsidiary in China and will pay 2 million Chinese yuan (CNY) including interest in one year, Also, the BHP Billiton has the following market information and considers that the Purchasing Power Parity (PPP) does hold, How much Australian dollar the BHP Billiton will pay that equivalent to 2 million CNY after one year? (enter the whole number with no sign or symbol) In Australian dollar Chinese yuan Spot rate (A$) (CNY) 19 Real interest rate p.a. 3.22% 3.22% Nominal interest rate p.a. Home lumens 8.78% 11.37% Today's spot rate ( 0. 6878 ) (0. 1 137 ) A$0/2248/CNY I year Exchange rate = Spot rake + ( It nomin Answer: X C It now The correct answer is: 438833 = 0-2248 X ( 1+ 6. 0878 ) Cit 0. (137 ) - 0.2248 x 0-9767 0 . 2196 7 CNY 1 1000 100 43 9, 200 Dashbo

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!