MNC is a U.S. company with the following 1. Sales to Canada amounting to C$18 million. 2. Expenses of C$12 million for goods. 3. Interest expense on Canadian loans of C$2 million. Given these exact figures above, and no other C$ costs, all else being equal, the dollar value of MNC's earnings should: Group of answer choices increase with an appreciating C$ decrease with an appreciating C$ increase with a depreciating C$ remain unchanged
MNC is a U.S. company with the following 1. Sales to Canada amounting to C$18 million. 2. Expenses of C$12 million for goods. 3. Interest expense on Canadian loans of C$2 million. Given these exact figures above, and no other C$ costs, all else being equal, the dollar value of MNC's earnings should: Group of answer choices increase with an appreciating C$ decrease with an appreciating C$ increase with a depreciating C$ remain unchanged
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
Section: Chapter Questions
Problem 1PS
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MNC is a U.S. company with the following
1. Sales to Canada amounting to C$18 million.
2. Expenses of C$12 million for goods.
3. Interest expense on Canadian loans of C$2 million.
Given these exact figures above, and no other C$ costs, all else being equal, the dollar value of MNC's earnings should:
Group of answer choices
increase with an appreciating C$
decrease with an appreciating C$
increase with a depreciating C$
remain unchanged
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