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1. (6 points) Regal Winery is a large American winery which gets its grapes in the New York Finger Lakes Region (some of which

1. (6 points) Regal Winery is a large American winery which gets its grapes in the New York Finger Lakes Region (some of which it grows itself) and sells its wines throughout the Eastern United States exclusively. Yet Regal does face currency risk. Explain how this exposure occurs.

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