Q. Subsidiary A of Mega plc has net inflows in Australian dollars of A$1,000,000, while Subsidiary B has net outflows in Australian dollars of A$1,500,000. The expected exchange rate of the Australian dollar is £0.30. What is the net inflow or outflow as measured in pounds? (Solved)
1. £150,000 outflow.
2. £150,000 inflow
3. £1,666,000 inflow.
4. £1,666,000 outflow.
- a. £150,000 outflow.