Question
Vivek owns a business in Ontario, but 90% of his business is exported to the United States. He has a contract with an American company
Vivek owns a business in Ontario, but 90% of his business is exported to the United States. He has a contract with an American company to sell USD$500,000 worth of product. Delivery is in 60 days. Vivek knows the CAD is at $0.92 today, but is expected to drop to $0.89 in 60 days.
If Vivek had asked for payment in CAD, what could the customer do to save money? What is this called?
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Managerial Economics A Problem Solving Approach
Authors: Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
4th edition
1305259335, 978-1305259331
