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| Topic: |
Business
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| Number of pages / Number of words: |
8 / 2084 |
Essay's paper body
If Shang-Wa is acquired, Lester faces the issue of decreasing shareholders wealth. Anothet, issue for Lester Electronics is combining their financial reports with Shang-wa and reducing their exposure risk which is the susceptibility of a company to currency exchange rates (Investopedia, 2006). There are three main types of exposure: economic exposure, transaction exposure, and translation exposure (Ross, Westerfield, & Jaffe, 2005)...
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There are three main types of exposure: economic exposure, transaction exposure, and translation exposure (Ross, Westerfield, & Jaffe, 2005). Economic exposure is "the extent to which the value of the firm would be affected by unanticipated changes in exchange rates" (Ross, Westerfield, & Jaffe, 2005, p...
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General points of the essay
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