Answer:
b. Buy £1,000,000 forward for $1.50/£.
Explanation:
Let's say for instance, we agree to make purchase of €1,000,000 and then forward for $1.50/€ and we assume that the price turns out to become $1.62/€ in three months time, the expected profit will be $12,000 = €1,000,000 ($1.62 - $1.50)As we can see, answer d looks convincing from an accounting standpoint, but it is wrong because the question asks us to make money with a forward contract, not by holding a particular spot. The correct option should be option b.
Answer:
Option (D) is correct.
Explanation:
We know that there is a inverse relationship between the price of a good and its quantity demanded.
Relative inelastic demand refers to the demand where percentage change in the quantity demanded is relatively smaller than the percentage change in price of the good.
Relative inelastic demand curve is a demand curve which is relatively steeper in shape but not perfectly inelastic or vertical.
The opening balance are being added when creating a new
quick books data file for the existing company when there is a presence of
having chart of accounts that are provided to be customized that made opening
balances to be added.
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Answer:
a. increase in the demand for the good.
Explanation:
As we know that
In the case of normal goods, there is a positive relationship between the income and the quantity demand. If the income rises, the quantity demand is also rising and vice versa
But in the case of inferior goods, it shows an inverse relationship between the income and the quantity demand. If the income rises, the quantity demand is falling and vice versa
