Global Business Today 6th Edition by Charles Hill

Exercise 10

You manufacture wine goblets.In mid June you receive an order for 10,000 goblets from Japan.Payment of ¥400,000 is due in mid December.You expect the yen to rise from its present rate of $1=¥130 to $1=¥100 by December.You can borrow yen at 6% per annum.What should you do?