Your company has a 1 million Brazilian real (BRL) payable in one year. You decided to fully

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Your company has a 1 million Brazilian real (BRL) payable in one year. You decided to fully hedge with forward contracts.

The one year forward rate is 6 BRL/USD.

How much will you pay in USD in one year?

Note: provide your answers with four decimal points and in millions of USD. Please do the calculations in Excel and round up the results to four decimal points only at the end, once the calculations are completed.

Related Book For answer-question

Fundamental financial accounting concepts

ISBN: 978-0078025365

8th edition

Authors: Thomas P. Edmonds, Frances M. Mcnair, Philip R. Olds, Edward

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Posted Date: Dec 28, 2022 07:12 AM

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Your company has a 1 million Brazilian real (BRL) payable in one year. You decided to fully

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Fundamental financial accounting concepts

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