Purchasing power parity is basically the value of money in terms of what can be bought irrespective of market or region.
In the current scenario, Starbucks are expected to cost the same whether in Paris or Seattle. What matters here is the exchange rates.
If Starbucks costs $5 in Seattle and 4 Euros in Paris, the exchange rate is,
Exchange rate = Cost in Seattle/ Cost in Paris = $5/4 Euros = $1.25 per Euro or 4 Euros/$5 = 0.8 Euros per dollar. This means that Euro has more value than the dollar.
The correct answer is c.
As a handy tip, we were told that in order to convert the lease factor of a certain amount or transaction to interest rate, we just have to multiply the value by 2, 400.
interest rate = (0.00065)(2400) = 1.56%
Thus, the answer for this item is 1.56%.
Considering the available options, Common stock's par value "<u>has become less meaningful because states use other means to prevent stockholders from removing capital from financially distressed companies."</u>
Also, Common Stock's par value "<u>was introduced to prevent bankrupt companies from unfairly distributing company resources."</u>
Again, Common Stock's par value "<u>affects how common stock is recorded."</u>
Generally, Common stock's par value is the amount or price of stock shown on the bond certificate. It is usually between $0.10 to $0.01.
Hence, in this case, it is concluded that the correct answer is options A, C, and D.
Learn more about Common stock's par value here: brainly.com/question/3521865
The word that goes with this definition is MATURITY DATE