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please answer a and b of this question!!! thank you!!!!! You are the Chief Financial Orficer (CFO) of Wonderfil Electronics Global. Your company, headquartered in
please answer a and b of this question!!! thank you!!!!! You are the Chief Financial Orficer (CFO) of Wonderfil Electronics Global. Your company, headquartered in Cleveland, USA manufactures and sells Digital Cameras, and Computers, mainly to Japan and other Asian countries. The Company reported total revenues of 55 billion in 2022 . Out of these revenues, more than 50 percent was from the sales in Japan. The Company lost more than 10 pereent of sales revenues, mainly due to very unfivorable tis exchange rates during 2023. Thus, you now consider various ways of hedging the firm's currency exposure to Japanese Yen. As a first step, you would like to estimate the firm's exposure to the US dollar and then set up a few hedging strategies to minimize its currency risk exposure. A) Explain how you can quantitatively estimate the firm's exposure to the US dollar. (10 points) B) Provide at least two financial and two operational hedging strategies. (10 points)
please answer a and b of this question!!! thank you!!!!!
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