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2 years ago

How does a weak currency give a country an unfair advantage in trade?.

Business

1 answer:

harina [27]2 years ago

6 0

Answer:

From the countries point of view with the weaker currency, their goods are relatively cheaper to other countries, and other countries goods are relatively more expensive to this country (Say Country A) as they have a weaker currency.

From the point of view of Country B, with a stable currency, Country A's goods are relatively cheaper because they have a weaker currency.

Due to this scenarios, Country B will export less to Country A than import because Country B will be buying more of Country A's product as it is relatively cheaper. It will export less to Country A because Country B's products are relatively more expensive to Country A due to their weak currency.

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A. Finance, or financial management, requires the knowledge and precise use of the language of the field.

Sergio [31]

Answer:

1. Amortization Schedule.

2. Amortized loan.

3. Annual Percentage rate.

4. Discounting.

5. Future Value.

6. Opportunity cost of funds.

7. Time value of money.

8. Annuity due.

9. Perpetuity.

10. Ordinary annuity.

11. PMT/r.

Explanation:

Financial accounting is an accounting technique used for analyzing, summarizing and reporting of financial transactions like sales costs, purchase costs, payables and receivables of an organization using standard financial guidelines such as Generally Accepted Accounting Principles (GAAP).

Some of the financial terminologies used in financial accounting are;

1. Amortization Schedule: A schedule or table that reports the amount of principal and the amount of interest that make up each payment made to repay a loan by the end of its regular term.

2. Amortized loan: A loan in which the payments include interest as well as loan principal.

3. Annual Percentage rate: A value that represents the interest paid by borrowers or earned by lenders, expressed as a percentage of the amount borrowed or invested over a 12-month period.

4. Discounting: A process that involves calculating the current value of a future cash flow or series of cash flows based on a certain interest rate.

5. Future Value: The name given to the amount to which a cash flow, or a series of cash flows, will grow over a given period of time when compounded at a given rate of interest.

6. Opportunity cost of funds: A 6% return that you could have earned if you had made a particular investment.

7. Time value of money: A concept that maintains that the owner of a cash flow will value it differently, depending on when it occurs.

8. Annuity due: A series of equal cash flows that occur at the beginning of each of the equally spaced intervals (such as daily, monthly, quarterly, and so on).

9. Perpetuity: A cash flow stream that is generated by a share of preferred stock that is expected to pay dividends every quarter indefinitely.

10. Ordinary annuity: A series of equal cash flows that occur at the end of each of the equally spaced intervals (such as daily, monthly, quarterly, and so on).

11. Time value of money calculations can be solved using a mathematical equation, a financial calculator, or a spreadsheet. The equation which can be used to solve for the present value of a perpetuity is given below;

Present value of a perpetuity (PV) = PMT/r

Where;

PMT represents the payment amount.
r represents the annual interest rate.

3 0

3 years ago

LBC Corporation makes and sells a product called Product WZ. Each unit of Product WZ requires 3.5 hours of direct labor at the r

swat32

Answer:

The correct option is D

Labour budget = $1,974,175

Explanation:

The labour budget is the product of the standard labour cost per unit and the budgeted production in units

Labour budget = standard labour cost× production budget in unit

The production budget can bed determined by adjusting the sales budget for closing and opening inventories.

Production budget = Sales budget +closing inventory - opening inventory

Production budget = 39,000 + 100 -200 = 38,900 units

Labour budget = $14.50× 3.5× 38,900 = $1,974,175

Labour budget = $1,974,175

6 0

2 years ago

One of the following is an example of managing earnings down (reducing earnings)?

malfutka [58]

Answer:

The answer is (C) Revising the estimated life of equipment from 10 years to 8 years.

Explanation:

Revising estimated life of equipment from 10 years to 8 years has the effect of increasing annual charge of depreciation.

8 0

3 years ago

arter Company sells merchandise on account for $4,000 to Hannah Company with credit terms of 2/10, n/30. Hannah Company returns

timama [110]

Answer:

The answers are:

Cr Accounts receivable $4,000
Dr $3,332 Cash
Dr $68 Sales discount
Dr $600 returned merchandise (damaged)

Explanation:

The credit terms of 2/10, n/30 means that if Hannah Company pays within ten days, they will get a 2% discount, or they have thirty days to pay the full receipt.

Hannah's check should be for:

($4,000 - $600) x 0.98% = $3,400 x 0.98% = $3,332

Arter Company should record the following entries:

Cr Accounts receivable $4,000

Dr $3,332 Cash

Dr $68 Sales discount

Dr $600 returned merchandise (damaged)

6 0

3 years ago

Question 25

telo118 [61]

Answer:

False

Explanation:

6 0

3 years ago