Ga u. s.-based company, stewart, inc., arranged a 2-year, $1,000,000 loan to fund a project in mexico. the loan is denominated in mexican pesos, carries a 10.0% nominal rate, and requires equal semiannual payments. the exchange rate at the time of the loan was 5.75 pesos per dollar, but it dropped to 5.10 pesos per dollar before the first payment came due. the loan was not hedged in the foreign exchange market. thus, stewart must convert u. s. funds to mexican pesos to make its payments. if the exchange rate remains at 5.10 pesos per dollar through the end of the loan period, what effective interest rate will stewart end up paying on the loan?

Ancho corp. is an automobile company whose core competency lies in manufacturing petrol- and diesel- based cars. the company realizes that more of its potential customers are switching to electric cars. the r& d department of the company acquires competencies in developing electric cars and launches its first hybrid car, which uses both gas and electricity. in this scenario, ancho is primarilya. leveraging new core competencies to improve current market position. b. redeploying existing core competencies to compete in future markets. c. unlearning existing core competencies to create and compete in markets of the future. d. building new core competencies to protect and extend current market position