You have a business based in Vietnam that has just exported a product to a buyer in Thailand. The invoice for this sale is denominated in Vietnamese dong and must be paid in 60 days. That is, your customer will pay you in Vietnamese dong.
Given this arrangement, what is the exchange-rate risk you face as an exporter?

Question

You have a business based in Vietnam that has just exported a product to a buyer in Thailand. The invoice for this sale is denominated in Vietnamese dong and must be paid in 60 days. That is, your customer will pay you in Vietnamese dong. 
 Given this arrangement, what is the exchange-rate risk you face as an exporter?

Answer

Given the close proximity of Vietnam and Thailand, the two currencies will move in unison.

Answer

The risk is that the Vietnamese dong will strengthen against the Thai Baht.

Answer

The risk is that the Vietnamese dong will weaken against the Thai Baht.

Answer

You face no exchange-rate risk since your customers pay in Vietnamese dong.

Crowdly

You have a business based in Vietnam that has just exported a product to a buyer...

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