Answer:
At the beginning of lecture, Dr.McCarty says that the US economy is built to serve:________.
b. People who own things
Explanation:
The U.S. economy, which is a mixed economy, exhibits both capitalism and socialism characteristics. While it allows economic freedom to people who own things (capitalists), occasionally, the government intervenes to achieve public good by imposing some restrictions and licensing. The government is also involved in some economic development, especially as it relates to education, roads, and healthcare. As a mixed economy, the government uses monetary and fiscal policies to rein in some of the excesses of capitalism.
Demand drives the price up. Supply shortages would be cause for offshore drilling. I am an ROV pilot in the Oil & Gas Industry and trust me we have enough supply. There just needs to be more demand for oil.
Answer:
$4,800,000
Explanation:
Widget corporation purchased all of its fixed assets three years ago for $6 million
These assets can be sold today for $3 million
The company receives $1.8 million in cash after liquidation of current assets
Therefore the market value of the company's total assets today can be calculated as follows
Market value = $3,000,000 + $1,800,000
= $4,800,000
Hnence the company's market value for today is $4,800,000
Answer:
When telling a friend about your new job, how would you describe this company’s operations?
Neither effective nor efficient
Explanation:
The company's operations will be considered effective if they achieve objectives. But they do not produce the desired results because drivers often get the wrong addresses, making freights not to arrive at their destinations. Similarly, the company's operations cannot be described as efficient because trucks go out half full with wrong addresses. This is a waste of time, money, and efforts, and the performance competence of the company is questionable. Efficient operations accomplish results with the least amount of resources. Effective operations achieve desired results successfully.
Answer: Cross-rate can be found by using the given formula ,
So,
Substituting this into the exchange rate for Yen and dollars, we get
Cross-rate in terms of Yen per Pound is 112.41
b. If cross-rate is 
, this means that Yen is quoted high relative to pound. So, the arbitrage profit per dollar will be,
Suppose we take a a loan for $1 and buy £0.6536. Then we use the pounds to purchase
yen at the cross-rate, so we have
£0.6536 (¥115/£1) = ¥75.164
Now, we replay the loan in dollars by exchanging Yen back to dollars. The cost to repay will be:
¥75.164($1/¥73.47) = $1.02305
Your arbitrage profit is $0.02305 per $1 used.
