21)____ Typically Have Maturities of Less Than One Year

23.Assume Jelly Corporation, a U.S.-based MNC, obtains a one-year loan of 1,500,000 Malaysian ringgit (MYR) at a nominal interest rate of 7%. At the time the loan is extended, the spot rate of the ringgit is $.25. If the spot rate of the ringgit in one year is $.28, the dollar amount initially obtained from the loan is $____, and $____ are needed to repay the loan. a.375,000; 449,400 b.449,400; 375,000 c.6,000,000; 5,357,143 d.5,357,143; 6,000,000

24.Morton Company obtains a one-year loan of 2,000,000 Japanese yen at an interest rate of 6%. At the time the loan is extended, the spot rate of the yen is $.005. If the spot rate of the yen at maturity of the loan is $.0035, what is the effective financing rate of borrowing yen? a.37.8%. b.51.43%. c.-25.8%. d.-6%. e.none of the above