Washington co is a us-based firm that obtains 10 of its, Ask an Expert

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Washington Co. is a US-based firm that obtains 10% of its supplies from European manufacturers. 60% of its revenues are due to exports to Europe where its product is invoiced in euros.

a. Why would a reduction in the value of the euro be likely to reduce profit for Washington Co.?

b. Explain one way the company could reduce its exposure to fluctuations in the value of the euro.

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92750615

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