Question: Diz Co . is a U . S . - based MNC with cash outflows in euros ( and no inflows in euros ) .

Diz Co. is a U.S.-based MNC with cash outflows in euros (and no inflows in euros). Yanta Co. is a U.S.-based MNC that has cash inflows in euros (and no outflows in euros). Outflows in euros for Diz are about the same amount as inflows in euros for Yanta. Which firm has a higher exposure to exchange rate risk?

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