in pure-discount U.S.bonds.The investment was liquidated one year later when the exchange rate was 110 yen per dollar.If the rate of return earned on this investment was 46% in terms of yen,calculate the dollar amount that the bonds were sold at.

Question

Quizplus · Accepted Answer

The investment's return in yen was 46%, and the exchange rate was 110 yen per dollar. To find the dollar amount, calculate the initial yen amount, apply the 46% return, and convert back to dollars. The calculation shows that the bonds were sold at $10,618,000.

In Pure-Discount U