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a) If you could buy a part from Canada for 80 Canadian dollars or buy a part in the US for $55, which supplier would

  1. a) If you could buy a part from Canada for 80 Canadian dollars or buy a part in the US for $55, which supplier would you choose if the indirect exchange rate is 1.381 CAD / 1 USD?

  1. If the Canadian exchange rate went to 1.481 CAD / 1USD, which supplier would you choose?
  2. (5 pts) Does a US exporter benefit from the strengthening of the US dollar? Explain

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