Business, 15.04.2021 19:00 crytongillbranion
Suppose that Boeing (US company) sold airplane to Lufthansa (German company) on credit and invoiced €20 million payable in six months. Two companies agree to share the currency risks. In the Price Adjustment Clause, the neutral zone is $1.14/€ - $1.26/€, the base rate is $1.2/€; and both parties will share the currency risk beyond a neutral zone. How much each party have to pay/receive if the exchange rate is $1.08/€
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Suppose that Boeing (US company) sold airplane to Lufthansa (German company) on credit and invoiced...
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