Problem 12-3 (algorithmic) E Question Help Manitowoc Crane (A). Manitowoc Crane (U.S ) exports heavy crane equipment to several Chinese dock facilities. Sales are currently 10,000 units per year at the yuan equivalent of $24,000 each. The Chinese yuan (renminbi) has been trading at Yuan800/S, but a Hong Kong advisory service predicts the renminbi will drop in value next week to Yuan8 90/s, after which it will remain unchanged for at least a decade. Accepting this forecast as given, Manitowoc Crane faces a pricing decision in the face of the impending devaluation It may either (1) maintain the same yuan price and in effect sell for fewer dollars, in which case Chinese volume will not change, or (2 maintain the same dollar price, raise the yuan price in Cina to offset the devaluation, and experience a 10% drop in unit volume Direct costs are 75% of the US sales price a What would be the short-rnm (one year) b. Which do you recommend? impact of each pricing strategy? a. H Manitowoc Crane maintains the same yuan price and same unit volume, what will be the firm's gross profits? (Round to the nearest dollar) Enter your answer in the answer box and then click Check Answer remaining Clear All Check