ABC Trading Company of Singapore purchases spices in bulk from around the world,packages them into consumer size quantities and sells them through sales affiliates in Hong Kong and the Unites States.For a recent month,the following payments matrix of inter-affiliate cash flows,stated in Singapore dollars,was forecasted. $$\begin{array} { | l | c | c | c | }
\hline { \text { ABC Trading Company Puyments Matrix (S\$000) } } \
\hline & { \text { Disbursements by: } } \
\hline & \text { Sinqupore } & \text { Hang Kong } & \text { U.S. } \
\hline \text { Receipts by: } & & & \
\hline \text { Bingapore } & & 80 & 110 \
\hline \text { Hong Kong } & 16 & & 44 \
\hline \text { U.S. } & 22 & 50 & \
\hline
\end{array}$$ If foreign exchange transactions cost ABC 0.45 percent,what savings results from netting?

Question

ABC Trading Company of Singapore purchases spices in bulk from around the world,packages them into consumer size quantities and sells them through sales affiliates in Hong Kong and the Unites States.For a recent month,the following payments matrix of inter-affiliate cash flows,stated in Singapore dollars,was forecasted. $$\begin{array} { | l | c | c | c | } 
\hline  { \text { ABC Trading Company Puyments Matrix (S\$000) } } \
\hline & { \text { Disbursements by: } } \
\hline & \text { Sinqupore } & \text { Hang Kong } & \text { U.S. } \
\hline \text { Receipts by: } & & & \
\hline \text { Bingapore } & & 80 & 110 \
\hline \text { Hong Kong } & 16 & & 44 \
\hline \text { U.S. } & 22 & 50 & \
\hline
\end{array}$$ If foreign exchange transactions cost ABC 0.45 percent,what savings results from netting?

Quizplus · Accepted Answer

The Answer of ABC Trading Company of Singapore purchases spices in bulk from around the world,packages them into consumer size quantities and sells them through sales affiliates in Hong Kong and the Unites States.For a recent month,the following payments matrix of inter-affiliate cash flows,stated in Singapore dollars,was forecasted. $$\begin{array} { | l | c | c | c | } 
\hline  { \text { ABC Trading Company Puyments Matrix (S\$000) } } \
\hline & { \text { Disbursements by: } } \
\hline & \text { Sinqupore } & \text { Hang Kong } & \text { U.S. } \
\hline \text { Receipts by: } & & & \
\hline \text { Bingapore } & & 80 & 110 \
\hline \text { Hong Kong } & 16 & & 44 \
\hline \text { U.S. } & 22 & 50 & \
\hline
\end{array}$$ If foreign exchange transactions cost ABC 0.45 percent,what savings results from netting?

ABC Trading Company of Singapore Purchases Spices in Bulk from Around