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Consider a German firm that operates in the US, Brazil, Hong Kong, and Japan. Provide a simple model that the managers of the German firm

Consider a German firm that operates in the US, Brazil, Hong Kong, and Japan. Provide a simple model that the managers of the German firm can use to estimate the firm's foreign exchange exposure. Be as detailed as possible. Explain what the model can tell us about the nature of the German firm's exposure to foreign currency risk.

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