Please no written by hand Let’s suppose you (USA dealer) imported one Lamborghini SVJ-Verde Scandal from Italian dealer on March 1, 2019 at € 400,000, payable in 30 days. The exchange rate on March 1, 2019 was 1.16 US$/€. Then you sold all of them in the US market at US$610,000 in cash on March 29, 2019. On April 1, 2019, you paid to Italian car dealer at the exchange rate of 1.26 US$/€. What was profit or loss from this business in terms of US$? (Please assume all costs are included in price.) Group of answer choices $106,000 $98,0210 $96,400 $92,020
Please no written by hand Let’s suppose you (USA dealer) imported one Lamborghini SVJ-Verde Scandal from Italian dealer on March 1, 2019 at € 400,000, payable in 30 days. The exchange rate on March 1, 2019 was 1.16 US$/€. Then you sold all of them in the US market at US$610,000 in cash on March 29, 2019. On April 1, 2019, you paid to Italian car dealer at the exchange rate of 1.26 US$/€. What was profit or loss from this business in terms of US$? (Please assume all costs are included in price.) Group of answer choices $106,000 $98,0210 $96,400 $92,020
Chapter36: Exchange Rates And Financial Links Between Countries
Section: Chapter Questions
Problem 13E
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Please no written by hand
Let’s suppose you (USA dealer) imported one Lamborghini SVJ-Verde Scandal from Italian dealer on March 1, 2019 at € 400,000, payable in 30 days. The exchange rate on March 1, 2019 was 1.16 US$/€. Then you sold all of them in the US market at US$610,000 in cash on March 29, 2019. On April 1, 2019, you paid to Italian car dealer at the exchange rate of 1.26 US$/€. What was profit or loss from this business in terms of US$? (Please assume all costs are included in price.)
Group of answer choices
$106,000
$98,0210
$96,400
$92,020
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