What is the implicit exchange rate at maturity

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Question - Consider 8.5% Swiss franc/U.S. dollar dual-currency bonds that pay $666.67 at maturity per SF1,000 of par value. It sells at par.

What is the implicit SF/$ exchange rate at maturity?

Will the investor be better or worse off at maturity if the actual SF/$ exchange rate is SF1.35/$1.00?

Reference no: EM133092655

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