International cash management $($LO$2)$ Postal Express has outlets throughout the

world. It also keeps funds for transactions purposes in many foreign countries. Assume

in $2010$ it held $240,000$ reals in Brazil worth $170,000$ dollars. It drew $12$ percent

interest, but the Brazilian real declined $24$ percent against the dollar.

a$.$ What is the value of its holdings, based on U$.$S$.$ dollars, at year$-$end? $($Hint:

Multiply $$170,000$ times $1\mathrm{.}12$ and then multiply the resulting value by $76$

percent.$)$

b$.$ What is the value of its holdings, based on U$.$S$.$ dollars, at year$-$end if instead it

drew $9$ percent interest and the real went up by $13$ percent against the dollar?