Answer:
Market Capitalization
Explanation:
One measure of the importance of a publicly traded asset class in the U.S. economy can be calculated by multiplying the number of publicly traded shares by the current market price of the stock. The result of this calculation is more commonly referred to as market capitalization.
Market capitalization refers to the total market value of a firms shares. it is the cumulative value of the outstanding shares a publicly quoted company (a company that trades its shares in the stock exchange).
Answer: $47 million
Explanation:
Pension expense arises as a result of the amounts owed to employees in relation to pension liabilities.
It is calculated by;
= Service Cost + Interest expense - Expected return on plan assets + Amortization of prior service cost + Amortization of net loss
= 48 + ( 440 * 5%) - 23
= $47 million
Answer:
Mark will have at the end of six years the amount of $25,865.74
Explanation:
According to the given data we have the following:
First investment = 2500
Investment increasing at rate of 10%
Interest rate = 13%
t=6 years
Present value is given by formula = C * [((1+g)^n/(1+i)^n) - 1 ] / (g-i)
C is first value = 2,500
g is increase in investment = 0.10
i is intrest rate = 0.13
n is no of years = 6
Putting values into the equation
P = 2500* [((1+ 0.10)^6/(1+0.13)^6) - 1 ] / (0.10-0.13) 1.771561 2.08195
P = 2500* [((1.10)^6/(1.13)^6) - 1 ] / (-0.03)
P = 2500* [0.8509142870866 - 1 ] / (-0.03)
P = 2500* (-0.14908571)/ (-0.03)
P = 2500* 4.9695236
P=$12,423.809
Future value = P*(1+i)^t
= $12,423.809 *(1+0.13)^6
= $25,865.74
Mark will have at the end of six years the amount of $25,865.74
Answer:
<em>Purchasing power parity (PPP): </em>The principle suggests that if the purchasing powers are the same in two different countries, their exchange rates would be in equilibrium.
<em>Happening:</em> When inflation occurs in the US and it occurs more rapidly than in other nations, the currency, the dollar, will be less attractive to other nations. This means that the dollar's exchange rate with the currency of another nation will increase.
Explanation:
Suppose the rate of exchange between pound and dollar is 1 pound= 1.5 dollar before inflation. When inflation happens it may be 1 pound= 2 dollars.
If it has greater buying power, the currency will be demanded more. The US dollar was more requested before inflation, as 1 pound is spent on buying just $1.5. When inflation occurs, the dollar's buying power goes down and it gets less needed. 1 pound is already being spent on that time but to buy more dollars, 2 dollars.
