Finance Director Pixonix Inc. are trying to decide whether it should hedge, given the current strength of Canadian dollar. Her company proprietary software licenses through the U.S. company, which will cost $ 7.5 million in three months. The case provides students the opportunity to understand the effects of exchange rate fluctuations on cash flows of its firms and some of the tools available for risk management, including the inputs and calls and forward contracts. "Hide
by Colette Southam, Karim Moolani Source: Richard Ivey School of Business Foundation 4 pages. Publication Date: 05 June, 2009. Prod. #: 908N13-PDF-ENG