Greeley plc$.$ is a U$.$S$.-$based multinational firm $($MNF$)$ that purchases most of its materials fromAustralia and generates a small portion of its sales from exporting to Australia. Its U$.$S$.$ sales aredenominated in U$.$S$.$ dollars, while its Australian sales are denominated in Australian dollars$($AUD$).$ Using the cost and revenue information shown for Greeley plc$.$ in Exhibit $1$ determinehow the costs, revenue, and cash flow items would be affected by three possible exchange ratesfor the Australian dollar: $(1)$ AUD$=$ US$$0\mathrm{.}75,(2)$ AUD $=$ US$$0\mathrm{.}80,$ or $(3)$ AUD $=$ US$$0\mathrm{.}85.($Assume U$.$S$.$ sales will be unaffected by the exchange rate.$)$ Assume that Australian AUDearnings will be remitted to the U$.$S$.$ parent at the end of the period. Ignore possible tax effects.Exhibit $1-$ Estimated Sales and Expenses for Greeleys U$.$S$.$ and Australian BusinessSegments $($in Millions$)$U$.$S$.$BusinessAustralianBusinessSales $$320$ AUD $4$Cost of materials $ $50$ AUD $200$Operating expenses $ $60-$Interest expenses $ $3$ AUD $10$Cash flows $$207-$AUD $206$