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Sarakose Co is a U.S. company with sales to Canada amounting to C$5 million. ITS COSTS OF MATERIALS ATTIBUTALBE TO THE PURCHASE OF cANADIAN GOODS

Sarakose Co is a U.S. company with sales to Canada amounting to C$5 million. ITS COSTS OF MATERIALS ATTIBUTALBE TO THE PURCHASE OF cANADIAN GOODS IS v$7MILLION. iTS INTEREST EXPENSE ON Canadian loans is C$5millin. The dollar value of SaRAKOSE EARNING before interest and taxs would ____. if the Canadian dollar appreciates; the dollar value of its cash flows would ___if the Cnadian dollar appreciates. 1. decrese;increase, 2. increase;increase, 3. increse;decrease, 4. decrese;decrease

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