Assume Isuzu produces a car in Japan for 1.8 million. On June 1, when new models are introduced, the exchange rate is 150/USD. Consequently, the automaker sets the sticker price for the car at USD 12,000. By August 1, the exchange rate has dropped to 125/USD. Isuzu is worried that it will receive fewer Yen per sale ($12,000 125 = 1.5 million). (a) What scenario(s) could explain the trajectory of the exchange rate? (b) What alternative options does Isuzu have to mitigate the effect of exchange rate changes? (c) What strategy would you recommend for this car company? (d) Suppose the Bank of Japan intervenes in early October to push down the value of the Yen which subsequently moves to 225/USD. What problems and/or issues does it present for Japanese and American car companies?