1 What is the amount, in baht, that Blades needs to borrow to cover the payments due...

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1 What is the amount, in baht, that Blades needs to borrow to cover the payments due to the Thai suppliers? What is the amount, in yen, that Blades needs to borrow to cover the payments due to the Thai suppliers?

Blades plc just received a special order for 120 000 pairs of ‘Speedos’, its primary roller blade product.
Ben Holt, Blades’ financial director, needs short-term financing to finance this large order from the time Blades orders its supplies until the time it will receive payment. Blades will charge a price of 5000 baht per pair of Speedos. The materials needed to manufacture these 120 000 pairs will be purchased from Thai suppliers.
Blades expects the cost of the components for one pair of Speedos to be approximately 3500 baht in its first year of operating the Thai subsidiary.

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Exploring Economics

ISBN: 9780324395464

4th Edition

Authors: Robert L. Sexton

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