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2.5 pts Question 3 1. A European-based manufacturer ships a machine tool to a buyer in Jordan. The purchase price is 375,000. Jordan imposes a

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2.5 pts Question 3 1. A European-based manufacturer ships a machine tool to a buyer in Jordan. The purchase price is 375,000. Jordan imposes a 12% import duty on all products purchased from the European Union. The Jordanian importer then re-exports the product to a Saudi Arabian importer, but only after imposing its own resale fee of 22%. Given the following spot exchange rates, what is the total price the Saudi Arabian importer would pay in Saudi Arabian riyal? (rounded) Jordanian dinar (JD) per euro () JD 0.8700/ Jordanian dinar (JD) per US dollar ($) JD 0.7080/$ Saudi Arabian riyal (SRI) per US dollar ($) SRI 3.750/$ SRI 1,406,250 O SRI 1,183,567 w Instructions 2.5 pts Question 8 Which of the following is NOT a cost of multinationalization? Access to skilled labor. Exploitation of the resources of the foreign country, Exposure to political risk relating to the government of the foreign country, O Threat posed to domestic producers in the foreign country. Difficulty in transferring capital between the domestic and foreign countries.

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