Answer:
The company can file antidumping case against the leading foreign rivals. The probability of winning the case is only high when there is cash deposits near to zero in the country and balance of payment is negative.
Explanation:
There can be a law suit files against the foreign rivals but the company will have to bear lawyers fee for this. There is a threat to employment of labor in the home country as most of the goods are imported so factories in the home country will be moved towards shut down because consumers will be buying imported goods which are offered at low price.
Answer:
$27,600
Explanation:
Amount transferred from the retained earnings account to paid-in capital accounts as a result of the stock dividend:
= Shares issued * Percentage of stock dividend * Market price
= 46,000 shares * 2% * $30
= 46000*0.02*$30
= $27,600
Answer:
True cost of the microwave is in 99% confidence interval: ![c. $323.40 to $426.60](https://tex.z-dn.net/?f=c.%20%24323.40%20to%20%24426.60)
Explanation:
Relevant data:
![n=50\\\mu=375\\\sigma=20\\\alpha=0,001](https://tex.z-dn.net/?f=n%3D50%5C%5C%5Cmu%3D375%5C%5C%5Csigma%3D20%5C%5C%5Calpha%3D0%2C001)
As we want to know the 99% confidence interval, the significance level is:
![(1-\alpha).100\%=99\%\\1-\alpha=0.99\\\alpha=0.01](https://tex.z-dn.net/?f=%281-%5Calpha%29.100%5C%25%3D99%5C%25%5C%5C1-%5Calpha%3D0.99%5C%5C%5Calpha%3D0.01)
We need to estimate a confidence interval by a two tailed normal bell. Then we have:
![Z_{\alpha/2}=Z_{0.005}](https://tex.z-dn.net/?f=Z_%7B%5Calpha%2F2%7D%3DZ_%7B0.005%7D)
The z-value for a probability of 0.005 in a normal standard distribution is 2.576
Confidence interval is given by;:
![\=x\±Z_{\alpha/2}\sigma\\375\±Z_{\0.005}(20)\\375\±(2.58)(20)\\375\±51.60](https://tex.z-dn.net/?f=%5C%3Dx%5C%C2%B1Z_%7B%5Calpha%2F2%7D%5Csigma%5C%5C375%5C%C2%B1Z_%7B%5C0.005%7D%2820%29%5C%5C375%5C%C2%B1%282.58%29%2820%29%5C%5C375%5C%C2%B151.60)
![375+51.60=426.60\\375-51.60=323.40](https://tex.z-dn.net/?f=375%2B51.60%3D426.60%5C%5C375-51.60%3D323.40)
True cost of the microwave is in 99% confidence interval: ![c. $323.40 to $426.60](https://tex.z-dn.net/?f=c.%20%24323.40%20to%20%24426.60)
Accurate measurement is VERY important in banking because banking is all about exact calculations. If one balance measure is off, the entire bank report will not be acurate. One little mess up and the entire calculation goes wrong.
Answer:
A zero coupon bond:
A. is sold at a large premium.
B. has a price equal to the future value of the face amount given a positive rate of return.
C. can only be issued by the U.S. Treasury.
D. has less interest rate risk than a comparable coupon bond.
E. has a market price that is computed using semiannual compounding of interest.
Answer is : B
Explanation:
In classification of bonds we have a unique type of bond known as Zero-coupon bonds also know as Pure discount bonds, unlike traditional bonds they don’t pay coupon instead they are sold on discount basis and on maturity the bondholder receive a par value, for this reason the price will be at a discount on sale and on maturity be redeemed at par price showing a positive rate of return.