Why are the cash flows of a purely domestic firm exposed

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Reference no: EM13936022

1. Exposure of domestic firms. Why are the cash flows of a purely domestic firm exposed to exchange rate fluctuations?

2. Measuring economic exposure. Boston Ltd (UK) hires you as a consultant to assess its degree of economic exposure to exchange rate fluctuations. How would you handle this task? Be specific.

Reference no: EM13936022

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