A U. S.-based company, Global Products Inc., has wholly owned subsidiaries across the world. Global Products Inc. sells products linked to major holidays in each country. The president and board members of Global Products Inc. believe that the managers of their wholly owned country-level subsidiaries are best motivated and rewarded with both annual salaries and annual bonuses. The bonuses are calculated as a predetermined percentage of pretax annual income.
Senora Larza, the president of Global Products of Mexico, has worked hard this year to make her Mexican subsidiary profitable. She is looking forward to receiving her annual bonus, which is calculated as a predetermined percentage of this year’s pretax annual income earned by Global Products of Mexico. A condensed income statement for Global Products of Mexico for the most recent year is as follows (amounts in thousands of pesos):
Sales MXN 20,000
Expenses 19,000
Pretax Income MXN 1,000
The U. S. headquarters financial group translates each of its wholly owned subsidiary’s results into U. S. dollars for evaluation. After translating the Mexican pesos income statement into U. S. dollars, the condensed income statement for Global Products of Mexico is as follows (amounts in thousands of dollars):
Sales US $6,000
Expenses 6,600
Pretax Income US $(600)
a-1.Calculate the bonus amount based on (1) the Mexican pesos-based Pretax Income and (2) the U. S. dollar-based Pretax Income. The predetermined percentage for the calculation of Bonus is 15%.
a-2. Translate the pesos-based bonus to U. S. dollars using a current exchange rate in Exhibit 15-7.(Round your answer to 2 decimal places.)
b. Calculate the average exchange rate used to translate the Mexican pesos income statement into the U. S. dollar statement for the categories: (1) Sales and (2) Expenses. (Round your answers to 5 decimal places.)

2. the external environment (connect)choose whether each example belongs in the general, task, or internal environment.exampleenvironmenta worldwide recession task environment / general environment / internal environmentlocal mothers asking their community grocery store to carry no-salt cheerios-type cereal for their babies task environment / general environment / internal environmentchoose the phrase that best completes the following sentence.the relationship between the task environment and the general environment is best described as: a one-way system: changes in the task environment affect the general environment, but changes in the general environment do not affect the task environment.an open system: changes in the task environment affect the general environment, and changes in the general environment affect the task environment.a one-way system: changes in the general environment affect the task environment, but changes in the task environment do not affect the general environment.a closed system: changes in the general environment do not affect the task environment, and changes in the task environment do not affect the general environment.©bloomberg via getty imagesmanagement in the newsin april 2010, the explosion of british petroleum’s (bp) deepwater horizon oil drilling rig and the accompanying oil spill dramatically changed the external environment in which all oil companies operate. the explosion released more oil than any other accidental spill in history and had a huge impact on the waters and surrounding communities of the gulf coast. the conditions that led to the spill, the attempts to stop the spill, and the clean-up and aftermath of the spill prompted debates in the u.s. senate, concern on wall street, and attention from companies all over the world.match each oil spill event with a specific dimension of the general environment.eventgeneral environment dimensionbp stock prices falling 25% during the first month after the oil spill oil seeping into pelican nesting grounds, which will place the brown pelican back on the endangered species list people moving from louisiana to oklahoma to avoid the effects of the spill