BC Trading Company of Singapore purchases spices in bulk from around the world, ackages them into consumer size quantities and sells them through sales affiliates in Hong ong and the Unites States. For a recent month, the following payments matrix of inter-affiliate ash flows, stated in Singapore dollars, was forecasted. ABC Trading Company Payments Matrix (S$000) Receipts by: Singapore Hong Kong J.S. S$170,000 Disbursements by: OS$152,000 OS$405,000 $$322,000 Singapore 16 22 Hong Kong 80 50 U.S. 110 Calculate, in Singapore dollars, the amount that the inter-affiliate foreign exchange transaction vill be reduced by with multilateral netting. 44

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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ABC Trading Company of Singapore purchases spices in bulk from around the world,
packages them into consumer size quantities and sells them through sales affiliates in Hong
Kong and the Unites States. For a recent month, the following payments matrix of inter-affiliate
cash flows, stated in Singapore dollars, was forecasted.
ABC Trading Company Payments Matrix (S$000)
Receipts by:
Singapore
Hong Kong
U.S.
S$170,000
S$152,000
S$405,000
Disbursements by:
S$322,000
Singapore
16
22
Hong Kong
80
50
Calculate, in Singapore dollars, the amount that the inter-affiliate foreign exchange transaction
will be reduced by with multilateral netting.
U.S.
110
44
Transcribed Image Text:ABC Trading Company of Singapore purchases spices in bulk from around the world, packages them into consumer size quantities and sells them through sales affiliates in Hong Kong and the Unites States. For a recent month, the following payments matrix of inter-affiliate cash flows, stated in Singapore dollars, was forecasted. ABC Trading Company Payments Matrix (S$000) Receipts by: Singapore Hong Kong U.S. S$170,000 S$152,000 S$405,000 Disbursements by: S$322,000 Singapore 16 22 Hong Kong 80 50 Calculate, in Singapore dollars, the amount that the inter-affiliate foreign exchange transaction will be reduced by with multilateral netting. U.S. 110 44
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