3. With 17,508 islands, 700 languages, 58 active volcanoes, Indonesia is a dream place. Your company, located in the United States, specializes in importing electrical equipment from Indonesia. In 2023, the United States imported a total of $4.63 billion of electrical and electronic equipment from Indonesia. As of 2024, the average currency exchange rate between the U.S. dollar and Indonesian Rupiah is 1 U.S. dollar to 15,458 Rupiah. However, the exchange rate between the U.S. dollar and the Rupiah has been declining for the past 3 months. Basically, the U.S. dollar continues to depreciate against the Rupiah. While chilling in your living room with your friends and watching the evening news, you hear a reporter state the following: "Due to stubborn high inflation in the United States, the central bank decided to raise the interest rate to control the growth of inflation." The next day, you shared that news with your team at work, and one of teammates seemed confused because she did not understand the purpose of you sharing such news given that your company does business with vendors outside the United States. She spoke up and asked the team these questions: You seem to be pleased with such awful news. How does such government policy affect our business? Should we reduce our purchases from Indonesia or increase them? Why?
3. With 17,508 islands, 700 languages, 58 active volcanoes, Indonesia is a dream place.
Your company, located in the United States, specializes in importing electrical equipment from Indonesia. In 2023, the United States imported a total of $4.63 billion of electrical and electronic equipment from Indonesia. As of 2024, the average currency exchange rate between the U.S. dollar and Indonesian Rupiah is 1 U.S. dollar to 15,458 Rupiah. However, the exchange rate between the U.S. dollar and the Rupiah has been declining for the past 3 months. Basically, the U.S. dollar continues to
While chilling in your living room with your friends and watching the evening news, you hear a reporter state the following: "Due to stubborn high inflation in the United States, the central bank decided to raise the interest rate to control the growth of inflation."
The next day, you shared that news with your team at work, and one of teammates seemed confused because she did not understand the purpose of you sharing such news given that your company does business with vendors outside the United States. She spoke up and asked the team these questions:
- You seem to be pleased with such awful news. How does such government policy affect our business?
- Should we reduce our purchases from Indonesia or increase them? Why?
AI-generated content may present inaccurate or offensive content that does not represent bartleby’s views.
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