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i have 20 min pls asap Brillient Jewelers hos purchosed 15 pounds of sifver from Silver Mines Lid. at US $27,400 per pound payable in
i have 20 min pls asap
Brillient Jewelers hos purchosed 15 pounds of sifver from Silver Mines Lid. at US $27,400 per pound payable in one year. The curtent spot exchange rate is 1.4355 (CS/US5) ond the one-year forward rote, quoted by the company's bank is 1.4372 The Financial Controller of Brillient Jewelers suggests thot the spot rate in one year will be 1.4284 . Interest rates in Canodo are currently 2.50 percent for one year and 2.3 percent in the United States Required: a) Outline, with calculations, three olternative actions avaliable to Britiant Jewelers to hondie its foreign exchange exposure (10 marks) b) Advise the compony which oltemotive they should take providing the reason for your recommendotion (2 marks) Step by Step Solution
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