Brambles is an Australian owned supply chain logistics company that has operations in over 60 countries. Their main business activity is the supply and management ofCHEPshipping pallets and containers.

Because of their international operations, Brambles must (carefully) manage their foreign exchange exposure.The foreign exchange market is the largest market in the world by value. The market has three main functions: transfer of purchasing power, facilitation of international trade and transfer of risk. Explain how Brambles can use each of these functions as part of its normal operating activities. (3 marks)