Arvind runs a small electronics company in India and has just sold some equipment to a U.S.

Question:

Arvind runs a small electronics company in India and has just sold some equipment to a U.S. company for $1 million to be paid in 90 days. His cost in Indian Rupees (INR) is 60 million. The current exchange rate is 66 INR per dollar. How much profit in INR would Arvind earn if the exchange is unchanged in 90 days? What happens to his profit if the exchange rate goes to 70 INR per dollar in 90 days? At what exchange rate would Arvind just break even?

Exchange Rate
The value of one currency for the purpose of conversion to another. Exchange Rate means on any day, for purposes of determining the Dollar Equivalent of any currency other than Dollars, the rate at which such currency may be exchanged into Dollars...