Should you buy the yen now or wait until the end of month

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Question: Your firm has agreed to pay a Japanese supplier 100 million yen at the end of the month. You have just learned that the inflation rate in Japan is increasing (the U.S. inflation rate is stable). Should you buy the yen now or wait until the end of the month to make your foreign-exchange transaction? Explain your reasoning.

Reference no: EM131482720

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