MedStat Unwinds its Cross-Currency Swap. In Exhibit 8.13, MedStat had entered into a 3-year cross-currency swap...

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MedStat Unwinds its Cross-Currency Swap. In Exhibit 8.13, MedStat had entered into a 3-year cross-currency swap to pay British pounds at a fixed interest rate of 1.15% and receive U.S. dollars at a fixed interest rate of 1.26% when the spot exchange rate was $1.56 = 1.00. Using that same swap principal of $10,000,000 and contractual payments, calculate the cost of unwinding the swap after one year has passed (with two years remaining), if the two-year fixed rate of interest on British pounds is now 1.42%, the two-year fixed rate of interest on U.S. dollars is now 1.75%, and the current spot exchange rate is $1.51 = 1.00. The cost of unwinding the swap after one year has passed is $ (Round to the nearest dollar.) ... MedStat Unwinds its Cross-Currency Swap. In Exhibit 8.13, MedStat had entered into a 3-year cross-currency swap to pay British pounds at a fixed interest rate of 1.15% and receive U.S. dollars at a fixed interest rate of 1.26% when the spot exchange rate was $1.56 = 1.00. Using that same swap principal of $10,000,000 and contractual payments, calculate the cost of unwinding the swap after one year has passed (with two years remaining), if the two-year fixed rate of interest on British pounds is now 1.42%, the two-year fixed rate of interest on U.S. dollars is now 1.75%, and the current spot exchange rate is $1.51 = 1.00. The cost of unwinding the swap after one year has passed is $ (Round to the nearest dollar.) ...