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A manufacturer that ships goods made at its brazilian

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Q:A manufacturer that ships goods made at its Brazilian plants to markets in foreign countries:

a. views a weaker Brazilian real (vis-a-vis the currencies of the countries to which it is exporting) as an unfavorable exchange rate shift.

b. has no interest in whether the Brazilian real grows stronger or weaker vis-a-vis other currencies unless its chief competitors are also making their products at plants located in Brazil.

c. has no interest in whether the Brazilian real grows stronger or weaker vis-a-vis other currencies when its chief competitors are manufacturers based in countries outside Brazil.

d. views a stronger Brazilian real (vis-a-vis the currencies of the countries to which it is exporting) as a favorable exchange rate shift.

e. views a weaker Brazilian real (vis-a-vis the currencies of the countries to which it is exporting) as a favorable exchange rate shift.

 

Reference no: EM13715501

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