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Imagine you are a small business owner in orlando

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Imagine you're a small business owner in Orlando, FL who makes custom machined parts and a customer from Mexico wants to purchase special metal parts. You agree on the part specifications, transportation, and a price. You quote the buyer a firm price of $6.00 per piece on January 19th and they agree to purchase 60 of them. However, you don't anticipate shipping the parts until March 1st. Using an exchange rate of $1.00 = 14.54 pesos - please answer the following questions:(1) How much will the Mexican business calculate they have to pay in pesos?(2) What if the Mexican peso is devalued (i.e. goes down against the US dollar) by 10% between January 19th and March 1st - now how many pesos should they figure on?

Reference no: EM13499306

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