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White Company is a US-based company which exports equipment to Mexico. Sales are forecasted for 10 000 units at USD 60 per unit. Unit
White Company is a US-based company which exports equipment to Mexico. Sales are forecasted for 10 000 units at USD 60 per unit. Unit variable costs are USD 35. The Mexican Peso trades at MXP 22/USD. White forecasts an exchange rate of MXP24/USD. Analyze the two following cases: Case 1: maintain the same MXP price and volume stays the same. Case 2: keep the same USD price and volume decreases by 30%. Base Case Contribution Margin in (000) = White Company is a US-based company which exports equipment to Mexico. Sales are forecasted for 10 000 units at USD 60 per unit. Unit variable costs are USD 35. The Mexican Peso trades at MXP 22/USD. White forecasts an exchange rate of MXP24/USD. Analyze the two following cases: Case 1: maintain the same MXP price and volume stays the same. Case 2: keep the same USD price and volume decreases by 30%. Case 1 Contribution Margin in (000) = White Company is a US-based company which exports equipment to Mexico. Sales are forecasted for 10 000 units at USD 60 per unit. Unit variable costs are USD 35. The Mexican Peso trades at MXP 22/USD. White forecasts an exchange rate of MXP24/USD. Analyze the two following cases: Case 1: maintain the same MXP price and volume stays the same. Case 2: keep the same USD price and volume decreases by 30%. Case 2 Contribution Margin in (000) =
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