Problem 10.04 – Currency Exposure for Embraer of Brazil

Multinational Business Finance

Eiteman, Stonehill, and Moffett

16th Edition

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Difficulty – Medium

How can Embraer manage its currency exposure given a contract to produce and deliver four aircraft to a U.S. airline for $ million, while also needing to pay foreign suppliers $ million for inputs one year from now?

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