Part of successfully hedge in money market

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Reference no: EM131920832

Tango Corporation, an American company will owe 20M Euros to their international supplier payable in 1 year. Interest rates are 2% in the US and 6% for the Euro. Determine the step Tango could take as part of a successfully hedge in the money market. Specifically, on the front page answer sheet, circler either BORROW or INVEST, provide the NUMERICAL VALUE and circle either Dollars or Euros.

Reference no: EM131920832

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