(Answered) A french firm exported certain cosmetic goods to a new york

Finance

A French firm exported certain cosmetic goods to a New York firm, the invoice being $4,00,000, credit terms 30 days. Spot exchange rate: 1$ = 0.80 Euro. Find the gain/loss to the exporter if Euro strengthens by 5% over the 30 days period. What if Euro weakens by 5% during the period. Make calculations in terms of Euro per $. Attempt the question by (a) direct quote (b) indirect quote.

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