Product Details
Westwood Plastics Inc.
Product Number:
9B06N017
Publication Date:
10/12/2006
Revised Date:
05/02/2013
Length:
9
pages
(3 pages of text)
Product Type:
Case (Gen Exp)
Source:
Ivey
The vice-president of finance for Westwood Plastics, Inc. (Westwood), wants to assess the impact of the possibility of a weakening Canadian dollar on the company's financial health given its exposure to the Euro. Because Westwood is required by a loan covenant to generate a minimum level of pre-tax earnings, management is concerned about the possible impact of the exchange rate volatility on projected income and cash flows. The vice-president of finance is considering both an option and a forward strategy to minimize the foreign exchange risk Westwood is facing. She must decide how to use financial instruments to hedge the risk.
Issues:
Disciplines:
Entrepreneurship,
Finance,
International
Industries:
Manufacturing
Setting:
Canada, Medium, 2006
Intended Audience:
Undergraduate/MBA
Price:
$5.30 CAD / $5.00 USD Printed Copy
$4.50 CAD / $4.25 USD Permissions
$4.50 CAD / $4.25 USD Digital Download
Associated Materials
Supplements:
7B06N017
(149 KB)
You Might Also Like...
-
John Paul de Silva, Anthony Goerzen
Publication Date: 7/20/2018
Length: 12 pages
-
Mary Gillett, Jessica Kelly
Publication Date: 6/20/2018
Length: 6 pages
-
Opal Leung, Mark MacIsaac
Publication Date: 6/08/2018
Length: 14 pages