Question: How would the devaluation of the Rupee affect your contribution in the home currency ($)? How much more sales revenue would be needed in India

How would the devaluation of the Rupee affect your contribution in the home currency ($)? How much more sales revenue would be needed in India to maintain your current contribution?

Incident A: India Currency Devaluation Net Contribution - Period 4 (in Rupees) Currency Devalues 15% and 25% - How Does That Affect Contribution After Mkting? 15% 25% 394.9 Unit Sales Manufacturer Sales Costs Gross Margin 1,055,686 664,417 Contribution after Mkting $000 Change in $ Contribution after Mkting Change in Rupee Contribution after Mkting 391,270 37% Total Marketing 156,720 15% Contribution after Mkting Additional Sales Revenue Needed to Maintain Contribution Currency Depreciates 15% 234,550 22% No Change - Net Contribution ($000) Contribution after Mkting Needed in Rupee Manufacturer Sales in Rupee Unit Sales Manufacturer Sales Costs Gross Margin Additional Sales Revenue Needed to Maintain Contribution Currency Depreciates 25% Total Marketing Contribution after Mkting Needed in Rupee Contribution after Mkting Manufacturer Sales in Rupee Ind. Rupee (INR) per 1USD ($) 46.05 Current Exchange Rate Currency Depreciates Currency Depreciates

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