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A Company Wishes to Obtain a Loan Denominated in Yen

Question 23

Multiple Choice

A company wishes to obtain a loan denominated in yen but considers the US market to offer better terms.How can the company accomplish this?


A) Borrow yen in Japan, exchange for US dollars, and arrange a currency swap
B) Borrow yen in Japan, exchange for US dollars, and arrange an interest rate swap
C) Borrow dollars in the US, exchange for yen, and arrange a currency swap
D) Borrow dollars in US, exchange for yen, and arrange an interest rate swap

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