Question: The table below shows expected exchange rates in one year and all foreign currency transactions for Delta Blue Inc, a Minnesota-based multinational corporation, over the

The table below shows expected exchange rates in one year and all foreign currency transactions for Delta Blue Inc, a Minnesota-based multinational corporation, over the next year:

Currency Expected exchange rate Cash inflow Cash outflow
Euro $1.09 50,000 45,000
Peso $0.051 MXN800,000 MXN700,000
Yen $0.0095 24,000,000 18,000,000
Yuan $0.138 260,000 420,000

Attempt 1/10 for 10 pts.

Part 1

What is the expected net cash flow in U.S. dollars from all euro transactions?

Part 2

What is the expected net cash flow in U.S. dollars from all yuan transactions?

Part 3

Which currency is the company most exposed to?

Yuan

Euro

Yen

Peso

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