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Consider two U.S. companies: A and B. Company A only imports from Egypt and its imports are invoiced in USD. The U.S. dollar value of

Consider two U.S. companies: A and B. Company A only imports from Egypt and its imports are invoiced in USD. The U.S. dollar value of the associated payables is $20 million. Company A has no international sales. Company B only imports from Australia and its imports are invoiced in Australian dollars (i.e., AUD). The U.S. dollar value of the associated payables is $10 million. Company B also has no international sales. Which company is exposed to more exchange rate risk?

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