Answer: C) The implied country risk premium of the foreign government bond is positive.
Explanation:
Given that the effective foreign risk-free rate is 6.336% and the interest on the foreign Govt. bonds is 7.5%, this would mean that the foreign govt. is offering higher on it's bonds than its risk free rate which means there is a premium.
The premium is;
= 7.5% - 6.366%
= 1.134%
This means that the implied country risk premium of the foreign government bond is positive.
Answer:
The term "benchmarking" as it relates to the hotel industry refers to comparing metrics for hotels of similar size or profile.
Explanation:
a) Benchmarking is a process wherein a company's products, services, business processes, or performance metrics are compared with a “best in class” competitor. The purpose of benchmarking is to enable organizations to make improvements by adapting specific best practices. A retail shop's metrics can be compared with the leading retail shop in your area. Given the deep insight gathered from benchmarking, this retail shop can decide to alter its line of products, the way it competes in the marketplace, or to undertake some improvements in her business processes.
There are four types of benchmarking, including internal, competitor, functional, and generic. Internal benchmarking is limited to internal processes. Competitor benchmarking compares one company's processes, products, or services to another. Functional benchmarking compares one function of an entity to another entity's. While generic benchmarking compares unrelated companies' processes or functions.
Answer:
c. suggest a listing price based on comparable market data.
Explanation:
A bond can be defined as a debt or fixed investment security, in which a bondholder (creditor or investor) loans an amount of money to the bond issuer (government or corporations) for a specific period of time.
Generally, the bond issuer is expected to return the principal at maturity with an agreed upon interest to the bondholder, which is payable at fixed intervals.
The par value of a bond is its face value and it comprises of its total dollar amount as well as its maturity value. Also, the par value of a bond gives the basis on which periodic interest is paid. Thus, a bond is issued at par value when the market rate of interest is the same as the contract rate of interest. This simply means that, a bond would be issued at par (face) value when the bond's stated rated is significantly equal to the effective or market interest rate on the specific date it was issued.
Generally, a listing broker should suggest a listing price based on comparable market data.
I think A. Is the correct answer
Answer: $158.40
Explanation:
The Costs of Goods sold is the amount that it cost a company to acquire or produce the products that it is selling.
Marquis Company uses a weighted-average perpetual inventory system which means that the cost of goods purchased at different times should have their costs averaged so that only one cost is recognised.
Marquis purchased 10 units for $12 and 15 units for $14.
This means that they spent the following on purchases,
= (10*12) + (15*14)
= 120 + 210
= $330
The amount of units purchased was,
= 10 units + 15 units
= 25 units.
The average price will therefore be,
= 330/25
= $13.20 per unit.
12 units were sold at the Weighted Average Cost which is $13.2.
The Cost of Goods sold is therefore,
= 12 * 13.2
= $158.4
