Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

D Question 17 Your employer, a large U.S. based MNC, has asked you to assess its transaction exposure. Its projected cash flows are as follows

D Question 17 Your employer, a large U.S. based MNC, has asked you to assess its transaction exposure. Its projected cash flows are as follows for the next year. Indonesian rupiah inflows equal 500,000,000 while outflows equal 400,000,000. Philippine peso inflows equal 1,000,000 pesos while outflows equal 2,000,000 pesos. The spot rate of the rupiah is $.0001, while the spot rate of the peso is $0.022. Based on the above information, what is the net expected inflow/outflow in U.S? O $122,000 outflow O $78,000 outflow O $12,000 outflow O $32,000 Inflow 3 pts 1
image text in transcribed
Your employer, a large U.S. based MNC, has asked you to assess its transaction exposure. its projected cash flows are as follows for the next year. Indonesian rupiah inflows equal 500,000,000 while outflows equal 400,000,000. Philippine peso inflows equal 1,000,000 pesos while outflows equal 2,000,000 pesos. The spot rate of the rupiah is $.0001, while the spot rate of the peso is $0.022. Based on the above information, what is the net expected inflow/outflow in U.S? $122,000 outflow $78,000 outflow $12,000 outflow $32,000 Inflow

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Property Finance

Authors: David Isaac

2nd Edition

0333987144, 978-0333987148

More Books

Students also viewed these Finance questions

Question

Show that P{Ta Answered: 1 week ago

Answered: 1 week ago

Question

Please make it fast 2 1 .

Answered: 1 week ago