A U.S. exporter sells goods to a buyer in the United Kingdom for 100,000. The exchange rate

Fantastic news! We've Found the answer you've been seeking!

Question:

A U.S. exporter sells goods to a buyer in the United Kingdom for £100,000. The exchange rate is currently $1.25/£. The exporter wants to be paid in U.S. dollars within 30 days.

What type of trade finance instrument should the exporter use?

Related Book For answer-question

Spreadsheet Modeling & Decision Analysis A Practical Introduction to Management Science

ISBN: 978-0324656633

5th edition

Authors: Cliff T. Ragsdale

See More Books

Posted Date: Jun 15, 2023 07:05 AM

See More Questions

Read the case study and answer the question below with a one page response. What does a SWOT analysis reveal about the overall attractiveness of Under Armours situation? Founded in 1996 by former...
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
Googles ease of use and superior search results have propelled the search engine to its num- ber one status, ousting the early dominance of competitors such as WebCrawler and Infos- eek. Even later...
Look again at the financial forecasts for Growth-Tech given in Table 4.3. This time assume you know that the opportunity cost of capital is r = .12 (discard the .099 figure calculated in the text)....
A current I flows along a round loop. Find the integral f B dr along the axis of the loop within the range from to + . Explain the result obtained.
Suppose a firm makes purchases of $3.65 million per year under terms of 2/10, net 30, and takes discounts. a. What is the average amount of accounts payable net of discounts? (Assume that the $3.65...
Crawford-Austin Properties included the following stockholders' equity on its year-end balance sheet at December 31, 2006. Requirements 1. Identify the different issues of stock that Crawford-Austin...
On January 1, the company issued 10-year bonds with a face value of $200,000. The bonds carry a coupon rate of 10%, and interest is paid semiannually. On the issue date, the market interest rate for...
Service revenue Flint Company Income Statement For the Year Ended December 31, 2025 Operating expenses, excluding depreciation $1,780,600 Depreciation expense Loss on disposal of plant assets Income...
In this mini-case you will perform some procedures required as a part of audit planning. For ease your audit manager has already organized the workpapers and completed several of the required...
Find stress 300mm / MONEZ pt Mont f ANG LO MOXK) ING MOAK O 200kg NG MO 25mm bjodmani 25mm - find stress/?5 e=7800 kg/m +53 73
The following annual account balances are from Armour Sports at December 31. Accounts receivable Net sales Year 2 $ 59,568 1,167,533 Year 1 $ 57,325 1,090,531 a. Complete the below table to calculate...
XYZ Corporations' bonds were issued two years ago and have 8 more years till maturity. The bonds were issued at $1,000 Par, but the latest market price has fallen to $856.04 and the bonds have a...
Explore the portrayal of colonialism and its legacy in post-colonial literature. How do these works confront and critique historical narratives of empire ?
In Module 1, you outlined how you justified taking this course as an employee of a struggling organization. Organizational behavior sounded far too vague, and your boss was not instantly convinced...
Job 327 was recently completed. The following data have been recorded on its job cost sheet: Direct Materials: Direct Labor hours: $2,500 100 Direct Labor wage rate: $10.00 per hour The company...
For step-wise development, you'll develop the application in three steps, with points allotted for each step. The idea is to start simple. Don't try and do everything at once. Get one piece of the...
Wal-Mart is the second largest retailer in the world. The data file on the disk holds monthly data on Wal-Marts revenue, along with several possibly related economic variables. a) Using computer...
Consider the following set of activities: a. Draw the CPM network for this problem. b. Manually determine the earliest and latest start and finish times for each activity and the amount of slack for...
A manufacturer of engine belts uses multipurpose manufacturing equipment to produce a variety of products. A technician is employed to perform the setup operations needed to change the machines over...
The Wiggly Piggly Grocery Company owns and operates numerous grocery stores throughout the state of Florida. It is developing plans to consolidate warehouse operations so that there will be three...
The Private Securities Litigation Reform Act of 1995 and the U.S. Supreme Court's decision in Central Bank of Denver v. First Interstate Bank of Denver represent major victories in the profession's...
What are heuristics, and why are they of concern to auditors?
Identify and briefly explain management's financial statement assertions, and explain the relationship among assertions, audit objectives, and audit procedures.

A U.S. exporter sells goods to a buyer in the United Kingdom for 100,000. The exchange rate

Question:

Expert Answer:

In this scenario the US exporter wants to be paid in US dollars within 30 days for the goods sold to ... View the full answer

Spreadsheet Modeling & Decision Analysis A Practical Introduction to Management Science

Students also viewed these finance questions