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
stealth61 [152]
3 years ago
8

In Ireland, a pint of beer costs 2.2 Irish pounds. In Australia, a point of beer costs 4 Australian dollars. If the nominal exch

ange rate is 2 Australian dollars per Irish pound, what is the real exchange rate from the Irish perspective?
Business
1 answer:
AnnZ [28]3 years ago
7 0

Answer:

.91 pints of irish beer per pint of Australian beer

Explanation:

As we know that

The exchange rate of

1 AUD = 0.5 pound

Now

In Ireland, 1 beer cost = 2.2 pound

And, in Australia, 1 beer cost = 4 AUD

As 1 AUD = 0.5 pound

so 4 AUD is

= 0.5 × 4

= 2

Now the exchange rate is

= 4 AUD beer cost ÷ 1 beer cost in Ireland

= 2 ÷ 2.2

= 0.91

hence, the real exchange rate is 0.91

You might be interested in
You examine the schedule for your favorite soccer team. the team plays sixteen games each season. later, you try recalling that
defon
<span>It is an example of the primacy effect. Primacy effect is one of the two main components of a broader concept known as the serial position effect. The serial position effect says that when given a list of information and later asked to recall that information, the items at the beginning (primacy) and the items at the end (recency) are more likely to be recalled than the items in the middle.</span>



7 0
2 years ago
LPM’s weighted average cost of capital (WACC) is 13 percent if the firm does not have to issue new common equity; if new common
erica [24]

Answer:

Projects D and E should be purchased.

Explanation:

since the firm's capital structure is 60% debt and 40% equity, it can pursue up to 2 projects. Only projects D, E and F have an internal rate of return higher than the company's WACC, so project G is discarded immediately.

Since projects D and E have a higher IRR, they should be selected.

  • project D: $70,000, IRR = 18%, debt = $42,000, equity = $28,000
  • project E: $85,000, IRR = 15%, debt = $51,000, equity = $34,000
  • total equity invested = $62,000

6 0
3 years ago
Arnold borrowed $7890 at 11. 5 percent for five years. What is his monthly payment?.
Marta_Voda [28]

Answer:

$173.50

Explanation:

4 0
2 years ago
Nicole deposits $2,136 in a savings account paying 5.36% interest. to the nearest dollar, how much money does nicole have in tot
Oduvanchick [21]
2,136×(1+0.0536×9)
=3,166
7 0
3 years ago
Read 2 more answers
Assume that an investor owns 30% of an investee, and accounts for its investment using the equity method. At the beginning of th
Vladimir [108]

Assume that an investor owns 30% of an investee, and accounts for its investment using the equity method. At the beginning of the year, the Equity Investment was reported on the investor's balance sheet at $300,000. During the year, the investee reported net income of $114,000 and paid dividends of $20,000 to the investor. In addition, the investor sold inventory to the investee, realizing a gross profit of $48,000 on the sale. At the end of the year, 20% of the inventory remained unsold by the investee.

6 0
2 years ago
Other questions:
  • If an employer chooses a per diem method of substantiation for travel expenses,
    10·1 answer
  • Riley Company paid $60,000 cash to purchase land from Smally Company. Smally originally paid $60,000 for the land. A) Was this e
    12·1 answer
  • Ashley is an attorney who specializes in family law. She uses the cash method of accounting and is a calendar-year taxpayer. Las
    7·1 answer
  • The marketing department wants to buy two new computers. One computer will be used for their graphic artist to create graphics a
    10·1 answer
  • What do employers seek when they are looking for "groupings" of collective skills and knowledge?
    7·1 answer
  • 1. The ABC Company is producing an item at unit cost of birr 4.
    10·1 answer
  • Which of these would Congress look to do during a recession, as it pertains to fiscal policy?
    5·1 answer
  • The winner of a $140 million lawsuit, terry bollea is better known by what name?.
    13·1 answer
  • Budget is a framework which guides the implementation, assessment, monitoring of all government programs to ensure sound financi
    13·1 answer
  • Measuring assets and liabilities based on their original transaction value is an example of:__________
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!