Santiago Pirolta's Compensation Agreement. Santiago Pirolta has accepted the Managing Director position for Vitro de Mexico's U.S. operations. Vitro is a Mexico-based manufacturer of flat and custom glass products. Much of its U.S. sales are based on a variety of bottle products, both mass market (e.g., glass bottles for soft drinks and beer) as well as specialty products (high-end cosmetic bottles with rare metal coloring and quality). Santiago will live and work in the United States (Dallas, Texas) and wishes to be paid in U.S. dollars. Vitro has agreed that his base salary of USD350,000 will be paid in U.S. dollars, but Vitro wishes to tie his annual performance bonus (potentially 10% to 25% above his base salary) to the Mexican peso value of U.S. sales since Vitro consolidates all final results for reporting to stockholders in Mexican pesos (MXN). Santiago, however, is a bit uncertain on having his bonus based on the Mexican peso values of U.S. sales. As a close friend and colleague, what advice would you give him based on your completion of the table below? (Click on the icon to import the table into a spreadsheet.) Year Change (%) 2015 2016 2017 2018 Vitro's U.S. Sales (million USD) 820 841 845 861 Complete the table below: (Round all values as in year 2015.) Vitro's U.S. Sales Change (millions of USD) (%) Year 2015 2016 820 841 C Annual Avg Rate MXN = 1 USD 12.79 13.32 Annual Avg Rate MXN=1 USD Vitro's U.S. Sales (million MXN) 12.79 13.32 12.69 13.41 Vitro's U.S. Sales (millions of MXN) 10,488 Change (%) Change (%) Santiago Pirolta's Compensation Agreement. Santiago Pirolta has accepted the Managing Director position for Vitro de Mexico's U.S. operations. Vitro is a Mexico-based manufacturer of flat and custom glass products. Much of its U.S. sales are based on a variety of bottle products, both mass market (e.g., glass bottles for soft drinks and beer) as well as specialty products (high-end cosmetic bottles with rare metal coloring and quality). Santiago will live and work in the United States (Dallas, Texas) and wishes to be paid in U.S. dollars. Vitro has agreed that his base salary of USD350,000 will be paid in U.S. dollars, but Vitro wishes to tie his annual performance bonus (potentially 10% to 25% above his base salary) to the Mexican peso value of U.S. sales since Vitro consolidates all final results for reporting to stockholders in Mexican pesos (MXN). Santiago, however, is a bit uncertain on having his bonus based on the Mexican peso values of U.S. sales. As a close friend and colleague, what advice would you give him based on your completion of the table below? (Click on the icon to import the table into a spreadsheet.) Year Change (%) 2015 2016 2017 2018 Vitro's U.S. Sales (million USD) 820 841 845 861 Complete the table below: (Round all values as in year 2015.) Vitro's U.S. Sales Change (millions of USD) (%) Year 2015 2016 820 841 C Annual Avg Rate MXN = 1 USD 12.79 13.32 Annual Avg Rate MXN=1 USD Vitro's U.S. Sales (million MXN) 12.79 13.32 12.69 13.41 Vitro's U.S. Sales (millions of MXN) 10,488 Change (%) Change (%)
