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Q. Foreign exchange - Maximum loss?
From Marton's point of view an adverse outcome is depreciation of the dollar against sterling as this lowers its income when converted into sterling. The most awful outcome is thus an exchange rate of US$1.60:£1.
Presently its dollar income is £5m × 1.45 = $7.25m. At US$1.60:£1 its sterling income would fall to $7.25m/1.60 = £4.53m. Therefore the worst outcome is a loss (compared to the current rate) of (£0.47m).
What is an annuity? An annuity is a sequence of equal cash flows, spaced consistently over time.
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Q. Explain about Routine Functions? Routine Functions: - The routine functions are Supervision of cash receipts and payments. Opening Bank Accounts as well as managing them Saf
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