Question
I have an MNC(Multinational company) that has business in china. and need to solev the below issue: Recall that it was assumed that your receivables
I have an MNC(Multinational company) that has business in china. and need to solev the below issue:
Recall that it was assumed that your receivables would be denominated in the foreign currency of concern. For this question only, assume that you could switch your pricing policy so that the receivables would be denominated in euros instead of the foreign currency. How would this switch affect the transaction exposure and the economic exposure of your business? Explain the conditions that could still cause the performance of your business to be affected by exchange rate movements. Sec
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