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Delta Auto Parts is a U.S. company with a subsidiary in Mexico. The company expects cash inflows of $280 million and cash outflows of $400
Delta Auto Parts is a U.S. company with a subsidiary in Mexico. The company expects cash inflows of $280 million and cash outflows of $400 from its U.S. business in one year, and cash inflows of 360 million peso and cash outflows of 370 million peso from its Mexican business in one year. The expechted exchange rate between the U.S. dollar and the Mexican peso in one year is $0.047 per peso.
Part 1 What is the expected dollar cash flow of the parent company in one year (in $ million)?
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