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Effectus [21]
4 years ago
14

Gordon Ltd., a 100% owned British subsidiary of a U.S. parent company, reports its financial statements in local currency, the B

ritish pound. A local newspaper published the following U.S. exchange rates to the British pound at year end:
Current rate $1.50
Historical rate (acquisition) $1.70
Average rate $1.55
Inventory (FIFO) $1.60

Which currency rate should Gordon use to convert its income statement to U.S. dollars at year end?
Business
1 answer:
anastassius [24]4 years ago
4 0

Answer:

Average rate = $1.55

Explanation:

Normally all companies use the current rates for the transaction, revenue department and profit loss, but it is not fair to use the same current rate on different dates.

Therefore, businesses usually use average exchange rates to overcome these kinds of shortcomings.

Therefore in this example, it would be appropriate to use the average exchange rates by the parent company to find the income of the subsidiary.

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What's the language spoken in Egypt?​
umka21 [38]

Answer:

Modern Standard Arabic

Explanation:

6 0
3 years ago
Read 2 more answers
An investor wishes to save for her retirement. She arranges to have $250 per month withdrawn from her account to be invested int
shusha [124]

Answer:

dollar cost averaging

Explanation:

Dollar cost averaging is a type of investment plan where the customer (investor) will contribute a specific amount of money every fixed period of time. In this case, our investor is investing $250 every month regardless of the price of the securities that she is investing in. Some months she will be able to buy more or fewer securities than other months.

5 0
3 years ago
Why is it a good idea for the HR plan to consider changes recruiters have seen in the company’s workforce?
ruslelena [56]

Answer:

It is a good idea because recruiter, by their vast experience, are well equipped to understand the changes in the organization's workforce, and ultimately key and reflect this changes as a drive for organization success.

Explanation:

It is important to understand the concept of human resource planning in an organization. Human resources planning is basically the procedure that ensure an organization has the right set of people with the right skill set in a bid to achieve the organizational objective. Hence, a critical aspect of human resources planning is identifying and forecasting of the requisite workforce with the required skill set the organization needs.

Employers, who represent the bulk of hr team and thus spearhead the planning process, understand the imperative of a good and competent workforce. Hence, they follow and monitor trends in a bid to tap and key into the new ways and methods of doing things. So, when these recruiters note these changes, it's a good idea to reflect such in the hr planning.

6 0
3 years ago
Use the following information to answer the next two questions. Downey Company bought a delivery truck for $62,000 on January 1,
natita [175]

Answer and Explanation:

The computation of the depreciation expense and book value at the end of 2016 is shown below:

But before that first determine the cost of the asset which is

Cost of the asset is

= Purchase price + rear hydraulic  lift + sales tax

= $62,000 + $8,000 + $3,000

= $73,000

Now the depreciation expense is

= ($73,000 - $8,000) ÷ (10 years)

= $6,500

ANd, the book value is

= $73,000 - $6,500 × 2

= $60,000

7 0
3 years ago
The institution-based view driving alliances and acquisitions focuses on _____ concerns.
Georgia [21]

Answer: (A) Antitrust

Explanation:

Antitrust is one of the type of law that basically monitor the economical power distribution in terms of business.

It is basically refers to the competitive law which is developed by the united state government for protecting the consumers from the various types of business practices.

It mainly ensure that the fairness in the competition in the market. Antitrust concerns are mainly focus on the institutional acquisitions and the alliances.

Therefore, Option (A) is correct.

7 0
3 years ago
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