What is the impact on the firm with if it always invoices their customers in hard currencies?
What will be an ideal response?
Answer: Invoicing in hard currencies forces the customer to assess the probability distribution of future exchange rates between the customer's currency and the hard currency. If the MNC can do this better or assess it more rationally, then the MNC can increase sales to those who would otherwise not purchase the product. Invoicing in hard currencies also shifts the foreign exchange risk to the customer who may be less sophisticated and less able to manage the risk.
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The correct term for an entry made to the left side of an account is
a. Double-entry system b. Debit c. Credit d. Journalizing
Salmone Company reported the following purchases and sales of its only product. Salmone uses a periodic inventory system. Determine the cost assigned to the ending inventory using FIFO. DateActivitiesUnits Acquired at CostUnits Sold at RetailMay 1Beginning Inventory260 units @ $11 5Purchase275 units @ $13 10Sales 195 units @ $2115Purchase155 units @ $14 24Sales 145 units @ $22
A. $4565 B. $4705 C. $8605 D. $4040 E. $3900
All of the following are true regarding conflict in teams except ______.
A. Conflict within teams produces stress and arguments that distract the team from working on the task. B. Moderate levels of relationship conflict improve team performance. C. All types of conflict (task, relationship, and process) are detrimental to member satisfaction. D. Moderate levels of task conflict improve team performance.
Which of the following assumptions is embodied in the AFN equation?
A. Accounts payable and accruals are tied directly to sales. B. Common stock and long-term debt are tied directly to sales. C. Fixed assets, but not current assets, are tied directly to sales. D. Last year's total assets were not optimal for last year's sales. E. None of the firm's ratios will change.