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Answer:
IDKK EITHER OF WHAT YOU ARE ASKING IDK
Explanation:
I just got myself confused XD
It would be an informative resource
Answer:
the fixed dollar-pound exchange rate is consistently below the equilibrium exchange rate that would be produced by a private foreign exchange market.
Explanation:
Fixing an exchange rate means that the government is trying to intervene in valuation of its currency. It is fixing it's currencie's rate to another and using reserves to handle fluctuations in market price.
When the fixed rate is below equillibrum there is surplus of the countrie's currency at the fixed rate. The government will buy this surplus (if not the value will fall) by selling their foreign currency reserves. This is done to maintain the fixed exchange rate.
Reduced reserves of pounds noticed by the Central bank is as a result of fixed price below equilibrium.
To find the value of the inventory to the nearest cent:
Estimated costs are: $18,750
Storage costs: 12%
Interest costs: 12%
Transportation costs: 5%
Let's add the costs up: 12% + 12% + 5% = 29%
We are solving for the value of inventory so in this case we will make that X.
X = estimated costs/interest amounts
X = $18,750/29%
X = $18,750/0.29
X = $64,655.17
The value of the inventory is $64,655.17
To check your work you can take $64,655.17 and multiply it by 29%
= $18,750