Ranbaxy(India) in Brazil. Ranbaxy, anIndia-based pharmaceuticalfirm, has continuing problems with its cholesterol reductionproduct's price in one of its rapidly growingmarkets, Brazil. All product is produced inIndia, with costs and pricing initially stated in Indian rupees(Rps), but converted to Brazilian reais(R$) for distribution and sale in Brazil. In2009, the unit volume was priced at Rps21,700, with a Brazilian real price set at R$886. But in2010, the real appreciated in value versus therupee, averaging Rps26.56/R$. In order to preserve the real price and product profit margin inrupees, what should the new rupee price be setat?

First, the implied spot exchange rate for the previousyear, 2009 must be found.

The implied spot exchange rate for the previousyear, 2009 is Rps

nothing

/R$. (Round to two decimalplaces.)