Scania Heavy Machinery AB. Scania Heavy Machinery AB, a manufacturer of heavy-duty machinery and vehicles near Stockholm,

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Scania Heavy Machinery AB. Scania Heavy Machinery AB, a manufacturer of heavy-duty machinery and vehicles near Stockholm, ships an order to a buyer in Lebanon. The purchase price is kr375,000.

Lebanon imposes a 15% import duty on heavy machinery products purchased from the European Union. The Lebanese importer then re-exports the equipment to an Iraqi importer, but only after imposing its own resale fee of 20%. Given the following spot exchange rates on September 16, 2019, what is the total cost to the Iraqi importer in Iraqi dinar, and what is the euro equivalent of that price?

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Multinational Business Finance

ISBN: 9781292445960

16th Global Edition

Authors: David Eiteman, Arthur Stonehill, Michael Moffett

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