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…showed last 75 words of 1666 total…produce, their profits are smaller and consequently they will reduce their purchases of new machines and equipment. Exchange Rates Exchange rates will hurt company sales when the dollar appreciates relative to other currencies. When this happens the value of the dollar increases, and consequently U.S. goods become more expensive to foreign countries. If exchange rates raise and stay at high levels for extended periods of time, company export sales would be reduced. ------------------------------------------------------------------------ **Bibliography**