Explain the determinants of operating exposure, Financial Management

Assignment Help:

Explain the determinants of operating exposure.

Answer:  The main determinants of a company’s operating exposure are

(a) The structure of the markets where the company sources its inputs, like labor and materials, and sells its products, and

(b) The company’s capability to mitigate the effect of exchange rate changes by adjusting its markets, product mix, and sourcing.


Related Discussions:- Explain the determinants of operating exposure

Illustrate the audit plans, Illustrate the audit plans Audit team must ...

Illustrate the audit plans Audit team must be sufficiently familiar and fully briefed by manager and have knowledge of the business or operation such that to be able to carry o

Explain pro forma financial statements and a cash budget, What is the diffe...

What is the difference between pro forma financial statements and a cash budget?  Explain why pro forma financial statements are not used to forecast cash needs. Pro forma

Estimation of working capital, Q. Estimation of Working Capital? A firm...

Q. Estimation of Working Capital? A firm must estimate in advance as to how much net working capital will be required for the smooth operations of the business. Only then, it c

What are the components of return, What are the Components of Return Re...

What are the Components of Return Return is fundamentally made up of two components: Periodic cash receipts or income on the investment in the form of interest,

What is the optimal amount of risky assets, Consider a world with two asset...

Consider a world with two assets: a riskless asset paying a zero interest rate, and a risky asset whose return r can take values +10% or -8% with equal probability. An individual h

How to determine the valuation of an investment bank, My company paid an ex...

My company paid an extremely high price for the acquisition of another company; the price was recommended by the valuation of an investment bank. We now have financial crisis. Is t

Elements of financial statement, Adapted from: Henderson, S, Peirson, G & H...

Adapted from: Henderson, S, Peirson, G & Herbohn, K 2008, Issues in financial accounting, 13th edn, Pearson Education Australia, Frenchs Forest.For each of the following independen

Claim for refund, Claim for Refund - A refund isn't automatically mailed if...

Claim for Refund - A refund isn't automatically mailed if one is due. A taxpayer whether individual orbusiness, should file a request on a form. It should also be filed within the

Operation management, Select a business with which you are familiar and ide...

Select a business with which you are familiar and identify examples of customers using search, experience, and credence quality to evaluate the good or service

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd