1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
alina1380 [7]
1 year ago
7

An agreement to exchange dollar bank deposits for euro bank deposits in one month is a:_________

Business
1 answer:
koban [17]1 year ago
8 0

An agreement to exchange dollar bank deposits for euro bank deposits in one month is a <u>forward transaction.</u>

<h3>What is a forward contract?</h3>

A tailored agreement between two parties to purchase or sell an item at a predetermined price at a later date is known as a forward contract. Although its non-standardized nature makes it particularly suitable for hedging, a forward contract can be utilized for speculating or hedging.

A forward contract can be tailored to a commodity, amount, and delivery date, unlike typical futures contracts. Grain, precious metals, natural gas, oil, and even chicken are examples of traded commodities. Settlement of a forward contract may take place in cash or by delivery.

Forward contracts are categorized as over-the-counter (OTC) instruments because they are not traded on a centralized exchange. While the OTC nature of these products makes it simpler to adjust terms, the absence of a centralized clearinghouse also increases the chance of default.

Thus, it is a forward transaction that is used to exchange dollar bank deposits for euro bank deposits in one month.

For more information on <u>Forward Transaction</u>, refer to the given link:

brainly.com/question/28238316

#SPJ4

You might be interested in
Match the factors to the target capital structure preferred.
Paraphin [41]

Answer:

See below ~

Explanation:

<u>Equity Capital Structure</u>

Equity capital refers to the money owed by the owners or shareholders of the company.

  • Fast growing companies like software
  • Businesses in the growth stage
  • Companies with high growth rate or credibility
  • Companies not in a position to provide collateral

<u>Debt Capital Structure</u>

Debt capital in the capital structure of the company refers to the borrowed money at work.

  • Managers with conservative management style
  • Companies want to show high credit rating
7 0
2 years ago
The intended audience for the memo is___________.The tone of the memo should be________.Finally, the purpose of the memo is_____
amid [387]

The intended audience for the memo is <u><em>all company employees</em></u>. The tone of the memo should be <em><u>formal</u></em>. Finally, the purpose of the memo is <u><em>to make sure employees understand and follow the updated dress code</em></u>.

7 0
2 years ago
A university has just hired additional faculty and staff. Who of the following is most likely to earn the highest pay?
Sladkaya [172]
I guess both the same pay,
cause the university tallies the amount of work to both of them
5 0
3 years ago
the biggest challenge facing the growth of new franchises is: A) market saturation B)competition from independent entrepreneurs
Furkat [3]

Answer:

(A) market saturation

Explanation:

A franchisee starts a new franchise by entering into a franchising agreement with a franchiser to use its brand name and sell its products. The biggest challenge faced by this new franchise is market saturation.

This occurs because<u> the presence of other similar businesses, whether franchises or independently owned businesses in the market, creates lots of competition for the new franchise.</u>

6 0
3 years ago
In a simple, closed economy (no government or foreign sector), disposable income increases from $2,000 to $3,000. If consumption
tamaranim1 [39]

Answer:

The marginal propensity to save is 0.4

Explanation:

The marginal propensity to save is 1 - marginal propensity to consume.

The marginal propensity to consume is the proportion of an increase in income that the consumers will spend from this increased income and the marginal propensity to save is the proportion of the increase in income that will be saved.

The marginal propensity to consume (MPC) = Change in consumption / change in income

The MPC = (2100 - 1500) / (3000 - 2000)  =  0.6

Thus, the marginal propensity to save is 1 - 0.6 = 0.4

8 0
3 years ago
Other questions:
  • If Chobani used which type of "Promotion" strategy vehicle for generating market awareness, it probably would have failed to rea
    6·1 answer
  • Use the ________ or _______ property to clear a float
    12·1 answer
  • A portfolio comprises Coke​ (beta of 1.1​) and​ Wal-Mart (beta of 1​). The amount invested in Coke is​ $10,000 and in​ Wal-Mart
    9·1 answer
  • Why do I have pay for answers when I'm going to school to be able to earn money? Yes, I'm 16, almost 17 and don't have a job bec
    12·1 answer
  • Ruth Company showed the following balances at the end of its first year.
    6·1 answer
  • An administrative (office) employee earns an annual salary which, when divided by total hours worked during the year, is the equ
    9·1 answer
  • Application of career management model
    9·1 answer
  • Marion Cosmetics decides to launch a cream with a claim that it makes skin "10 times smoother and reduces wrinkles by 90%. The c
    6·1 answer
  • Identify which basic assumption of accounting is best described in each/some item(s) presented below:a) The economic activities
    11·1 answer
  • Being in short supply is what?
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!