Use the Information for the Question(s)below

question 1

Multiple Choice

Use the information for the question(s) below.
You are a U.S.investor who is trying to calculate the present value of £5 million cash inflow that will occur one year in the future.The spot exchange rate is S = $1.8839/£ and the forward rate is F1 = $1.8862/£.The appropriate dollar discount rate for this cash flow is 5.32% and the appropriate £ discount rate is 5.24%.
-The present value of the £5 million cash inflow computed by first discounting the £s and then converting into dollars is closest to:

• A)$8,961,420.
• B)$8,950,495.
• C)$8,954,615.
• D)$8,943,695.

---

Definitions:

Intrasender Role Conflict

A situation where contradictory demands or expectations come from the same source, causing confusion and difficulty in role performance.

Person-Role Conflict

A form of role conflict where an individual's personal values or beliefs are in conflict with the expectations of their role.

Task Force

A temporary group of people formed to accomplish a specific objective, with a finite end to its endeavors upon achievement of its goals.

Role Ambiguity

The uncertainty employees face when they have unclear job responsibilities, objectives, or expectations from their superiors.