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Suppose a European company has a subsidiary in UAE. Assume that the euro is expected to strengthen against USD over the next 2 years. Explain

Suppose a European company has a subsidiary in UAE. Assume that the euro is expected to strengthen against USD over the next 2 years. Explain how this will affect the consolidated earnings of the Euro-based MNC company with subsidiary in UAE. (answer with not enough explanation will get half grade).

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