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IMPACT OF FOREIGN EXCHANGE CONTROLS Every quarter, Bronx Co . ships computer chips to a firm in central Asia. It has not used any trade
IMPACT OF FOREIGN EXCHANGE CONTROLS Every quarter, Bronx Co ships computer chips to a firm in central Asia. It has not used any trade financing because the importing firm always pays its bill in a timely manner upon receipt of the computer chips. However, Bronx Co is concerned that the foreign government may impose foreign exchange controls. The company reconsiders whether it should use some form of trade financing that would ensure it is paid for its exports upon delivery. How can Bronx Co achieve its goal?
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