In: Finance
The company is more dependant on Newzealand Business for the overall cashflow since US Business as such incurs negative cash flow of $100 and only combining with Newzealand business, gets a positive cash flow.
Also, since the Newzealand earnings are remitted back to US parent, if the NZD appreciates and USD weakens, the cash-flows becomes more favourable since the company gets more of USD for the equivalent NZD.
Workings: