Government forms created by the Federal Reserve must be approved by the Office of the Comptroller of the Currency

June Corp. sells one product and uses a perpetual inventory system. The beginning inventory consisted of 80 units that cost $20

inn [45]

Answer: 200 units

Explanation:

Beginning inventory 80 units.

Company Purchases 480 units

Total 560 units

Sales (360 units)

Ending Inventory 200 units

200 units remain in Ending inventory.

7 0

3 years ago

During a recession, a number of workers have their hours reduced by their employers. All else the same, the unemployment rate wi

devlian [24]

Incomplete question. I answered from a general economic standpoint.

Answer:

stay the same; decrease

Explanation:

Remember, in this scenario, it wasn't as though the mentioned workers lost their jobs, they only had their hours reduced by their employers; so they are not unemployed. This, therefore, implies that the unemployment rate will stay the same.

The labor force participation rate in simple words refers to the percentage of those who are currently employed or looking for a job within an economy. If the working hours are reduced, it may diminish the zeal among the workforce of an economy to work or find work because they may perceive they''ll earn less.

6 0

3 years ago

CIRP. Jason Smith is a foreign exchange trader with Citibank. He notices the following quotes. Spot exchange rate SFr1.6627/$ Si

Zinaida [17]

Answer:

Answer explained below

Explanation:

A.

For six months, rSFr => 1.50% and r$ => 1.75%.

Since the exchange rate is in SFr/$ terms, the appropriate expression for the interest rate parity relation is

F/S => [ (1 + rSFr ) / ( 1 + r$) ]

then we can also say

F/S *( 1 + r$) => (1 + rSFr )

Now Left side => F/S *( 1 + r$) => [ ( 1 + 6.558) / ( + 1.6627) ] * (1 +0.0175)

Left side => 1.0133

and Right side => (1 + rSFr ) => 1.0150

Since the left and right sides are not equal, IRP is not holding.

B and C.

Since IRP is not holding, there is an arbitrage possibility.

As 1.0133 < 1.0150,

we can say that the EuroSFr quote is more than what it should be as per the quotes for the other three variables. And, we can also say that the Euro$ quote is less than what it should be as per the quotes for the other three variables. Therefore, the arbitrage strategy should be based on borrowing in the Euro$ market and lending in the SFr market. The steps are as as follows. -

Borrow $1000000 for six-months at 3.5% per year and then we will pay back

=> $1000000 * (1 + 0.0175) => $1,017,500 six months later.

Convert $1000000 to SFr at the spot rate to get SFr 1662700.

Lend SFr 1662700 for six-months at 3% per year. Will get back

=> SFr1662700 * (1 + 0.0150) => SFr 1,687,641 six months later.

Sell SFr 1687641 six months forward. The transaction will be contracted as of the current date but delivery and settlement will only take place six months later. So, sixmonths later exchange

SFr 1,687,641 for => SFr 1687641 ⁄ SFr 1.6558/$ => $1,019,230.

The arbitrage profit six months later is 1019230 - 1017500 = $1,730

6 0

3 years ago

The inflation tax refers to

Mandarinka [93]

Answer:

The correct answer is letter "D": the revenue a government created by printing money.

Explanation:

When the government prints more money, there will be more supply of it. A higher supply of money tends to increase general prices causing inflation. Therefore, households will have to pay more money for goods and services which implies they will be paying more taxes, benefiting the government since it will have more money to finance its projects.

The previous practice mentioned is implemented by governments that are not willing to increase the interest rate directly.

4 0

4 years ago

Read 2 more answers

Because an organization has limited influence on market growth rate, its main alternative for moving an SBU on the portfolio ana

svetlana [45]

Answer:

The correct answer is inject cash into it.

Explanation:

Every day, central banks lend money to private banks through auctions. The extraordinary thing about these new liquidity injections starring the European Central Bank or the US Federal Reserve is not so much the operation itself, as the situation in which they occur.

In this case, problems arise when, due to distrust, banks do not lend money to each other, operations that are common when the system is working properly.

With extraordinary placements, the central entities replace that lack of funds that private banks have not been able to obtain from their partners and, at the same time, at a cheaper price - at a lower interest rate.

6 0

3 years ago