Based on the given information above about the Zook Company which is a wholesaler company, the type of wholesaler that it falls into is in the JOBBER. It is classified as a jobber since the Zook company only has a limited merchandise as well as their functions are limited too. In addition, they do not give any feedback to the manufacturers from the retailers.
The available options are:
A. I and III
B. I and IV
C. II and III
D. II and IV
Answer:
C. II and III
Explanation:
IO tranche which is an acronym for Interest Only tranche is defined as a form of tranche which earns interest only from a secured loan which is derived from Principal Only tranche.
However, Interest Only tranche is quite different from a typical bond, simply because when market interest rate increases the rate of prepayment decreases, which in turn makes the rate of maturity to be longer. Thereby when interest rates increase, prices increase, and vice versa.
Hence the true statements are:
II When interest rates rise, the price of the tranche rises
III When interest rates fall, the price of the tranche falls
Answer: the correct answer is these traits will help the manager persevere through culture shock.
Explanation:
Culture shock.- the feeling of disorientation experienced by someone who is suddenly subjected to an unfamiliar culture, way of life, or set of attitudes.
Answer:
The interest rate is higher in the US.
Explanation:
The forward price is calculated using the following formula,
F= S ( 1+Rd / 1+Rf)^t
where,
- F = Forward rate
- S = Spot rate
- Rd = Nominal interest rate in domestic market
- Rf = Nominal interest rate in foreign market
- t = time in years
We consider that the domestic market is the US and the domestic currency is the USD. Thus, it is a direct quote where 1 EUR = 1.3 USD
The forward price ER is more than the Sport ER only when the interest rate in domestic market is more than the interest rate in foreign market and as a result, the value of domestic currency against a foreign currency in the forward market depreciates.
We can see this by the following example,
Say Spot rate is $1.3 per 1 EUR and the interest rate in US is 10% while that in Euro zone is 5%. When we calculate the forward ER we will see that 1 EUR will buy us more USD in forward (more than 1.3 USD)
F= 1.3 * (1.1 / 1.05)^1 => $1.362 PER 1EUR
If a single company cheats on the cartel agreement then the unmarried company can grow its profit.
A cartel agreement is a settlement between competitions with the aim of hindering or proscribing competition or creating fake competition. Cartel agreements also can exist between providers and consumers, such as an instance retail fees.
A few examples of a cartel encompass The enterprise of the Petroleum Exporting Countries (OPEC), an oil cartel whose members manage forty four% of worldwide oil production and 81.5% of the world's oil reserves.
A cartel is an illegal settlement between competition that restricts competition. Cartels are often hard to discover due to the fact the cartel members have a not unusual hobby of keeping the agreement secret.
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