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Home Buddy's Inc. is expected a cash inflow of Euro 15,285 for goods sold to customers in France and Germany and a cash outflow of
Home Buddy's Inc. is expected a cash inflow of Euro 15,285 for goods sold to customers in France and Germany and a cash outflow of Euro 17,909 for imports from Portugal. What is the expected dollar value of the company's net Euro exposure if the current spot rate is $ 1.23 / Euro and the following scenarios are forecasted? Scenario Probability Euro appreciation or depreciation 1 10% -11% 2 60% 5% 3 30% 25% Provide your answer rounded to the nearest integer.
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