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3 years ago

How could U.S. currency lose value?

Business

1 answer:

Alex787 [66]3 years ago

6 0

Answer:

C.) Too many legal bills are printed and in circulation

Explanation:

If more money was printed there would be an artificial overabundance of money, but the supply of goods would not increase. This would lead to inflation which would lower the currency value.

You might be interested in

What type of content does Apple post on Instagram? do they include photos, videos, slideshows

11111nata11111 [884]

Answer:

Some photos but usually videos. They don't post slideshows as this is not an option on instagram but they will post multiple pictures at once allowing you to swipe or "slide" through them.

8 0

4 years ago

Larry Bar opened a frame shop and completed these transactions:1. Larry started the shop by investing $40,000 cash and equipment

sukhopar [10]

Answer:

The balance of the cash account after these transactions were posted for $40,300

Explanation:

The computation of the balance of the cash account is shown below:

= Cash invested - paid cash for the receptionist's salary + cash collection for giving custom frame service

= $40,000 - $1,200 + $1,500

= $40,300

The other items which are mentioned in the question reflected credit sales so we do not consider these items.

6 0

4 years ago

Moss Corp. owns 20% of Dubro Corp.'s preferred stock and 40% of its common stock. Dubro's stock outstanding at December 31, Year

Temka [501]

Answer:

Revenue due to investment in Dubro = $22,000

Explanation:

In the given case, revenue to be recorded will be based on calculation as follows:

Since investment in equity is 40% of total share, equity method will be used.

In such method all income share in equity and preference dividend will form part of income for the current year.

Dividend = $10,000 $\times$ 20% as invested in preference capital.

= $2,000

Share in income = $50,000 $\times$ 40% as invested in equity = $20,000

Note: Dividend will be deducted from net income as net income for equity

Net income - Dividend = $60,000 - $10,000 = $50,000

Thus, net share of income = $2,000 + $20,000 = $22,000

7 0

4 years ago

The next dividend payment by Im, Incorporated, will be $1.87 per share. The dividends are anticipated to maintain a growth rate

Makovka662 [10]

The answer is 9.35%.

The required rate of return (RRR) is the minimal return an investor would accept for owning a company's shares in exchange for a certain amount of risk. In corporate finance, the RRR is used to assess the profitability of proposed investment projects.

The RRR is a subjective minimal rate of return; this implies that a retiree will have a lower risk tolerance and hence accept a lesser return than a fresh college graduate with a larger stomach for risk.

Required return=(D1/Current price)+Growth rate

=(1.87/37)+0.043

=0.0505405405+0.043

=9.35% (Approx)

Hence, the required rate of return is 9.35%.

To know more required rate of return click here:

brainly.com/question/24301559

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4 0

2 years ago

A bond has a par value of $1,000, a time to maturity of 10 years, and a coupon rate of 8.60% with interest paid annually. If the

Delicious77 [7]

Answer:

Capital Gain Yield = 0.94%

Explanation:

Par Value = $1,000

Current Price = $860

Annual Coupon Rate = 8.60%

Annual Coupon = 8.60% * $1,000

Annual Coupon = $86

Time to Maturity = 10 years

Let annual YTM be i%

$860 = $86 * PVIFA(i%, 10) + $1,000 * PVIF(i%, 10)

Using financial calculator:

N = 10

PV = -860

PMT = 86

FV = 1000

I/Y = 10.98%

Annual YTM = 10.98%

Price Next Year = $86 * PVIFA(10.98%, 9) + $1,000 * PVIF(10.98%, 9)

Price Next Year = $86 * (1 - (1/1.1098)^9) / 0.1098 + $1,000 / 1.1098

Price Next Year = $868.12

Capital Gain Yield = (Price Next Year - Current Price) / Current Price

Capital Gain Yield = ($868.12 - $860) / $860

Capital Gain Yield = 0.0094

Capital Gain Yield = 0.94%

6 0

4 years ago