How much does firm expect to receive in us dollars


You are a financial adviser to a U.S. corporation that expects to receive a payment of 40 million Japanese yen in 180 days for goods exported to Japan. The current spot rate is 0.012 US dollars per Yen, so it takes .012 US dollars to buy one Yen. You are concerned that the Japanese Yen will depreciate against the U.S. dollar over the next six months. Assuming that the exchange rate remains unchanged, how much does your firm expect to receive in U.S. dollars?

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Microeconomics: How much does firm expect to receive in us dollars
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