Question: Question 18 Please use information to answer the question below: A US firm's expected Accounts Payable in UK due in 1 year GBP 8,000,000 Current

Question 18 Please use information to answer the question below: A US firm's expected Accounts Payable in UK due in 1 year GBP 8,000,000 Current Spot Rate (SR) for GBP USD 1.50 Annual interest rate in US (Rh) 5% Annual interest rate in UK (RF) 8% If the US firm wants to set up a money market hedge for their GBP payables, today it should borrow O GBP 8,000,000 O GBP 5,333,333 O USD 11,111,111 O GBP 7.407.407

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