... be augmented with these comments: What is the impact of using a fixed 1:1 exchange rate versus the forecasted parity-implied exchange rates given in case Exhibit 8 ? Also, in computing a beta for Fintelco, it is necessary to adjust for differences between U.S. and Argentine equity markets. One possible...

... mounds of evidence is necessary before forecasting the exchange rate's likely path. Filtering that evidence requires thinking about FX markets, prospective monetary policies, and past and prospective international capital flows. It is April 20, 2011, and you have a 6- to 12-month horizon. Based...