Question: Euroshipping is also considering developing a multilateral netting system. a. Given the cumulative monthly payments in the following payments matrix, derive the minimum transfers that

Euroshipping is also considering developing a multilateral netting system.

a. Given the cumulative monthly payments in the following payments matrix, derive the minimum transfers that could be made.

Euroshipping Intracompany Payments Matrix (millions of euros)


Euroshipping is also considering developing a multilateral netti


b. If the transaction costs on these fund transfers are 0.45%, how much would the company save by switching to a multilateral nettingsystem?

Paying Affiliate Receiving Swedsa panis Affiliate Swedish French Italian Spanish 16 14 18 19 12 15 15

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