Question: Reconsider Exhibit 15-10, panel B, in the chapter. Use current exchange rates to estimate the global costs of making a Barbie TM doll. Has the

Reconsider Exhibit 15-10, panel B, in the chapter. Use current exchange rates to estimate the global costs of making a Barbie TM doll. Has the total cost increased or decreased as a result of changes in exchange rates?

Estimated Product Cost for Barbie* Panel A: Exchange Ratest Country Saudi Arabia Taiwan Hong Kong Japan China Currency Riyal Taiwanese dollar Hong Kong dollar U.S. S Equivalent 2667 0326 1286 0095 1225 en Yuan Panel B: Estimated Product Cost Buildup Input Raw materials: Foreign Currency Value U.S. $ Equivalent $0.17 0.16 0.21 0.11 Saudi Arabia 0.6374 riyal 4.908 Taiwanese dollars 22.11 yen 0.898 yuan Taiwan Japan China Direct labor: China Overhead 2.857 yuan 0.35 Hong Kong Total export cost 7.776 Hong Kong dollars 1.00 $2.00

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