In What Way Is a Stronger Yen/weaker Dollar a Burden

question 56

Multiple Choice

In what way is a stronger yen/weaker dollar a burden for Japanese exporters?

• A)They received dollars when they sell goods but most of their costs of production are in yen.
• B)They receive yen when they sell goods but most of their costs of production are in dollars.
• C)The price of their exports will decline, resulting in lower profits.
• D)The stronger yen is likely to increase Japanese inflation, resulting in lower profits.

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Definitions:

Aggregate Planner

A professional role responsible for developing, executing, and monitoring a production plan that balances demand and supply over a medium-term horizon, typically focusing on general levels rather than specifics.

Mixed Strategy

In game theory, a strategic plan in which a player utilizes a mixture of actions, each with a specific probability, to ensure unpredictability.

Chase Strategy

A management approach where production meets the exact demand for goods, reducing inventory costs by producing only what is needed.

Aggregate Planning

A process in supply chain management that develops, analyzes, and maintains a preliminary, approximate schedule of the overall operations of an organization.