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Suppose that an MNC wants to assess its transaction exposure. The projected cash flows of the MNC are as follows for the following year: CURRENCY

Suppose that an MNC wants to assess its transaction exposure. The projected cash flows of the MNC are as follows for the following year:

CURRENCY total inflow total OUTFLOW CURRENT EXCHANGE RATE N US DOLLARS

POLSH zloty pln PLN 5 000 000 pln9 000 000 0.27

british pound 3 000 000 2 000 000 1.37

Calculate the MNCs transaction exposure.

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