Instruments du Rhone, S.A., as described in this chapter, decides not to change its domestic sales price of \(€ 12.80\) per unit within Europe but to raise its export price (in euros) from \(€ 12.80\) per unit to \(€ 15.36\) per unit, thus preserying its original dollar-equivalent price of \(\$ 15.36\). Volume in both markets remains the same because no buyer perceives that the price has changed.

a. What is the impact on cash flow?

b. What is the impact on working capital needs?

c. What is the impact on the present value approach to measuring operating exposure?