FIN 534 RANK Imagine Your Future / FIN 534 RANK Imagine Your Future / - Page 192

FIN 534 Week 11 Quiz 10 FOR MORE CLASSES VISIT Finance 534 week 11 quiz 10 Question 1 Suppose DeGraw Corporation, a U.S. exporter, sold a solar heating station to a Japanese customer at a price of 143.5 million yen, when the exchange rate was 140 yen per dollar. In order to close the sale, DeGraw agreed to make the bill payable in yen, thus agreeing to take some exchange rate risk for the transaction. The terms were net 6 months. If the yen fell against the dollar such that one dollar would buy 154.4 yen when the invoice was paid, what dollar amount would DeGraw actually receive after it exchanged yen for U.S. dollars? Question 2