Question: plz answer question a and b and type the answer thx Bravo Ltd (UK) wishes to fund an expansion in its business and has the
plz answer question a and b and type the answer thx


Bravo Ltd (UK) wishes to fund an expansion in its business and has the option to borrow in GBP, its home currency, or in Chinese Yuan (CNY). The length of the loan is 1 year. The bank will lend CNY at 2% per annum and the interest rate to borrow Pound Sterling GBP is 5%. A probability distribution for the possible change in value of the Euro over the life of the loan is given in the table below.' % Possible rate of change in Probability of Euro over the life of the loan occurrence % -122 22 -92 64 -62 102 -32 20 12 252 42 184 72 102 102 92 100- REQUIRED Page 12 of 20 May Assessment period 2020-214 a) Calculate the effective financing rate for each probability if the change in the Yen does occur [8 marks] Please provide the answer here; you may increase space where necessary b)Calculate the overall expected value of the effective CNY financing rate based on the calculations in (a) weighted by the probability of each outcome. [8 marks] Please provide the answer here; you may increase space where necessary
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