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Business, 12.08.2020 07:01 shadow56

Chicago based Corporation X has a number of exporting transactions with companies based in Sweden. Exporting activities result in receivables. If the settlement currency is the Swedish Krona, which of the following will happen by changes in the direct or indirect exchange rates? Direct Exchange Rate Indirect Exchange Rate
Increases Decreases Increases Decreases
Scenario A Loss Gain NA NA
Scenario B Loss Gain Gain Loss
Scenario C NA NA NA NA
Scenario D Gain Loss Loss Gain

a. Scenario B
b. Scenario D
c. Scenario A
d. Scenario C

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Answers: 3

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Chicago based Corporation X has a number of exporting transactions with companies based in Sweden. E...
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