Stamford Brewery, a beverage company based in Connecticut has a contract to supply beer to a concert venue in Montreal, Canada (Canada's currency is the Canadian dollar, "C"). The contract calls for Stamford Brewery to be paid C$100,000 six months from now. The current spot rate is $1.32/C$ and the six-month forward rate is $1.30/C$. Under conditions of equilibrium, what revenue figure would Stamford Brewery use today when preparing its operating budgets.

a.$75,757
b.$130,000
c.$100,000
d.$132,000

Answer rating: 100% (QA)

b 130000 Explanation Revenu... View the full answer