1. What is direct and indirect risk ?

2. which curency would depreciate and wich would appreciate through the year; hence would you expect fizer to loose/gain ?

3. Advice the which company steps should take in order to minimize currency risk. (5 points at least apply on this case ) ?

4.How much would the company loose or gain- in dollars during the year. ?

5. phizer enter on ERA agreement with City Bank. On the settlement day the one year rate USA was 1.31% . Explain what would happen ?

Pfizer is American pharmaceutical want to invest $50m in Jordan Company, 15 for 1 year as atried. The project likely to start after 6 month and would last for 1 year. The Current Spot rate is 1.33/3 The following Country is the yield. cate of both Rate Jog USA to monde 16 42 1 year 2.23 1.9 1.5 year 3.3 2.4 1. What is direct and indirect risk the 2. which ewrency would depreciate and wich would appreciate through. year, hence would fizer to loose/ gain you expect 3. Advice the which company steps should be in order to minimize risk Cwrency least apply. on this case ) (5 points at 4. How much would the loose/gain company in dollars. the - during year. 5. phizer enter on ERA agreement with city Bank. On the settlement day the one year rote USA was 1:2. Explain what would happen. Pfizer is American pharmaceutical want to invest $50m in Jordan , 18 for 1 year as a trid. The project likely to start after 6 month. and would last for 1 year. 1.33/1 The Curent Spot rote is The following is the yield carve of both country Rate Joe USA 6 month 1.5%. 1% 1 year 2.23 1.8%. 1.5 year 3.3 2.4^ Pfizer is American pharmaceutical want to invest $50m in Jordan Company, 15 for 1 year as atried. The project likely to start after 6 month and would last for 1 year. The Current Spot rate is 1.33/3 The following Country is the yield. cate of both Rate Jog USA to monde 16 42 1 year 2.23 1.9 1.5 year 3.3 2.4 1. What is direct and indirect risk the 2. which ewrency would depreciate and wich would appreciate through. year, hence would fizer to loose/ gain you expect 3. Advice the which company steps should be in order to minimize risk Cwrency least apply. on this case ) (5 points at 4. How much would the loose/gain company in dollars. the - during year. 5. phizer enter on ERA agreement with city Bank. On the settlement day the one year rote USA was 1:2. Explain what would happen. Pfizer is American pharmaceutical want to invest $50m in Jordan , 18 for 1 year as a trid. The project likely to start after 6 month. and would last for 1 year. 1.33/1 The Curent Spot rote is The following is the yield carve of both country Rate Joe USA 6 month 1.5%. 1% 1 year 2.23 1.8%. 1.5 year 3.3 2.4^