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A multinational corporation has purchased a manufacturing plant in a foreign country with an exchange rate of $0.3435 of the foreign currency = $1 U.S.,
A multinational corporation has purchased a manufacturing plant in a foreign country with an exchange rate of $0.3435 of the foreign currency = $1 U.S., for a total cost of $12,500,000 U.S. Soon after the purchase, the country's leadership orders that the plant be nationalized and mandates that the MNC sell the plant at a discounted exchange rate of $0.2241. How much in U.S. dollars will the MNC lose on the transaction?
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