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astra-53 [7]
3 years ago
10

Last year leather boot, Inc. had investments in Paris worth 500,000 euros. At that time, the euro was worth $1.20. Today the eur

o is trading for $1.30. What is the gain or loss in value of the inventory expressed in dollars and in euros?
Business
1 answer:
vitfil [10]3 years ago
4 0

Answer:

Gain in USD = 50000

Gain or Loss in EUR = 0

Explanation:

given data

investments = 500,000 euros

before euro = $1.20

now euro = $1.30

to find out

gain or loss in value of the inventory expressed in dollars and in euros

solution

we get Gain or Loss in USD = Euro amount × current exchange rate - Euro amount × old exchange rate     ..................1

put here value

Gain or Loss in USD = 500000 × 1.30 - 500000 × 1.20

gain = 50000

and

Gain or Loss in EUR = current euro amount - old euro amount     .......2

put here value we get

Gain or Loss in EUR = 500000 - 500000 = 0

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The financial statement effects of the budgeting process are summarized on the cash budget and the capital expenditures budget.
denis23 [38]

Answer:

true

Explanation:

8 0
3 years ago
Fiat borrowed $80,000 on October 1, 2019. Fiat will not make any payments until October 1, 2021, and at that time, Fiat will pay
natita [175]

Answer:

The answer is d. Interest payable of $2,500; interest expense of $2,000

Explanation:

Interest component over 2 years = $84,000- $80,000 = $4000

interest expense for a year = 4000/2 = $2000

Interest payable = 1.25 years   * 2000 = $2500

8 0
3 years ago
Because the company was angered by the actions of its resellers. Acme Manufacturing decided to slow down deliveries and postpone
Natasha_Volkova [10]

Answer:

B) coercive power.

Explanation:

There are two ways of influencing others to follow the instruction or to get the process in the right order.Those two ways are: Reward power and coercive power.

Coercive power: It is the ability of the authority to use power or force against people or subordinates to follow the instruction or to get them disciplined. It is an act of punishment for committing errors so that it does not get repeated.

In the given case, the manufacturer decided to punish resellers for their action. As Manufacturing decided to slow down deliveries and postpone product availability to these resellers.

8 0
3 years ago
An investor will choose between Asset Q with an expected return of 6.5% and a standard deviation of 5.5%, Asset U with an expect
Alexxx [7]

Answer:

The investor will prefer asset U. So the correct answer is option D

Explanation:

To choose between these stocks, we will calculate the coefficient of variation (CV) which is used to assess the risk per unit of expected return. As most people are risk averse, we assume that the investor is risk averse. We will calculate the CV for all three investments and the stock having lowest CV will be selected.

<u>Coefficient of Variation (CV)</u>

Coefficient of Variation =  standard deviation / expected return

<u />

Asset Q = 5.5% / 6.5% = 0.846

Asset U = 5.5% / 8.8% = 0.625

Asset B = 6.5% / 8.8% = 0.738

Thus, asset U has the lowest CV and the investor =, being a risk averse, will prefer asset U.

7 0
3 years ago
Which document must the borrower receive at least three days before the signing appointment?
sergiy2304 [10]

The document  the borrower must receive at least three days before the signing appointment is: Closing Disclosure.

Closing disclosure is a loan document that contains all the information about the what loan entails.

This closing disclosure tend to contain the following:

  • The loan terms
  • Transaction details
  • Closing information
  • Projected payments
  • Closing costs
  • Summary of loan transaction etc

Closing disclosure document must be received by the borrower at least three days before the borrower sign the appointment so as to give  the borrower time to go through the document or to review the documents and have good understanding of  the loan terms and condition before signed the appointment.

Inconclusion the document  the borrower must receive at least three days before the signing appointment is: Closing Disclosure.

Learn more about closing disclosure here:brainly.com/question/4375643

5 0
2 years ago
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