Suppose Yates Inc

question 39

Multiple Choice

Suppose Yates Inc., a U.S.exporter, sold a consignment of antique American muscle-cars 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, Yates 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 Yates actually receive after it exchanged yen for U.S.dollars?

• A) $1,075,958
• B) $1,025,000
• C) $1,000,000
• D) $975,610
• E) $929,404

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Definitions:

Organizational Strategy

A plan of action designed to achieve long-term or overall aims and objectives of an organization.

OD Practitioners

Professionals involved in organizational development who facilitate change and improve organizations’ effectiveness through research and application of behavioral science methods.

Employee Self-Actualization

The process by which individuals realize their full potential in their professional roles, contributing to their sense of fulfillment.

Organizational Development

A domain focused on enhancing understanding and improving how people can more effectively achieve organizational change and better performance through research, theoretical development, and practical application.