Part $1$

Which factors increase a multinational corporation's transaction exposureIntro

The current exchange rate between the yen $()$ and the U$.$S$.$ dollar is $$0\mathrm{.}008$ per $.$ The yen

is expected to depreciate by $0\mathrm{.}9\%$ per day against the dollar and the standard deviation of

the of daily percentage changes in the yen against the dollar is $0\mathrm{.}09\%$

Part $1$

What is the maximum one$-$day depreciation of the yen against the dollar with a $95\%$

confidence level $(Va{R}_{5\%})?$

Part $2$

What is the expected value of the yen if the maximum one$-$day loss from the previous part

occurs $($in $ per $)?$