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Category > Business & Finance Posted 19 May 2017 My Price 9.00

Jaguar has full manufacturing

 

Jaguar has full manufacturing costs of their S-type sedan of £22,803. They sell the S-type in the UK with a 20% margin for a price of £27,363. Today these cars are available in the US for $55,000 which is the UK price multiplied by the current exchange rate of $2.01/£. Jaguar has committed to keeping the US price at $55,000 for the next six months. If the UK pound appreciates against the USD to an exchange rate of $2.1459/£, and Jaguar has not hedged against currency changes, what is the percentage margin the company will realize given the new exchange rate?

 

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Status NEW Posted 19 May 2017 04:05 AM My Price 9.00

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