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3 years ago

Why might a country choose to devalue its currency?

Business

2 answers:

marysya [2.9K]3 years ago

8 0

Answer:

to encourage export

Explanation:

Devaluation is the term used to describe the official reduction in the value of a country's currency compared to other currency.

Currency devaluation is always at the descretion of the currency regulatory body in a country. One of the reason for currency devaluation is to encourage export which helps to bring down trade deficit.

When a country notices trade imbalance, devaluation comes into play. The cost of exporting goods becomes lower when a country's currency is devalued hence cost of importing becomes higher. Consumers will not be able to purchase imported goods due to its high cost thereby improving local businesses.

When a country's export is greater than its import, then there would be a reduction in trade deficit as a result of better balance of payment, thereby making the country's export more competitive in the global market.

andreev551 [17]3 years ago

5 0

Answer:

Explanation:

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Which statement indicates the impact of globalization on the African farming community?

svp [43]

The statement that indicates the impact of the Globalization on the African farming community is use of modern methods of farming increased the crop production of the people.

<h3>What is Globalization?</h3>

Globalization is a term which refers to the interconnection and interaction of the economy with that of the world's economy. It involves the exchange of the knowledge, trade, technology and even people.

The complete image of the question is attached below.

The African farmers faced many challenges but still they are graced with a very appropriate soil type, which has been aided by modern irrigation practices, fertilizers.

Many of the international aggro-processing company that set up factory near the village in the hopes of obtaining easy and cheap labor. As a result of these factors, people's crop production has increased dramatically.

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2 years ago

A business buyer has bought a product several times, but for this purchase is considering a change in product specifications, te

svet-max [94.6K]

Answer:

Modified rebuy

Explanation:

A modified rebuy is a buying situation where the buyer wants to modify the product or service specifications, selling terms or vendors. This happens when the product or service that was generally purchased before, or the vendor, didn't fulfill the needs of the company.

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3 years ago

A coupon bond paying semiannual interest is reported as having an ask price of 117% of its $1,000 par value. If the last interes

Vinil7 [7]

Answer:

$1,195

Explanation:

Calculation the invoice price of the bond

Using this formula

Invoice price of the bond =Clean price + Accrued interest

First step is to find the clean price using this formula

Clean price=Bond amount par value×Ask price percentage

Let plug in the formula

Clean price =$1,000×117/100

Clean price=$1,170

Second step is to calculate for the accrued interest.

Since Semiannually means 6 month, and we were told that the last interest payment was made a month ago which mean we have 5 months left. Now let find the accrued interest using this formula

Accrued interest = Number of days in month ×(5months/6months)

Let plug in the formula

Accrued interest=30× (5months/6months)

Accrued interest =30×0.83333

Accrued interest =$25

The last step is to calculate for invoice price of the bond using this formula

Invoice price of the bond =Clean price + Accrued interest

Let plug in the formula

Invoice price of the bond=$1,170+$25

Invoice price of the bond=$1,195

Therefore the Invoice price of the bond will be $1,195

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4 years ago

The term __________ refers specifically to geologic mountain building.

White raven [17]

'Mountain formation' or 'orogeny'

4 0

4 years ago

Brief Exercise 12-3 The following T-account is a summary of the Cash account of Cuellar Company. Cash (Summary Form) Balance, Ja

Inessa05 [86]

Answer:

$240,000

Explanation:

According to IFRS,

Cash inflow from financing activities:

Proceeds from bond issue = $300,000

Cash outflow from financing activities:

= Dividend paid + Interest paid**

= $(50,000 + 10,000)

= $60,000

Net cash inflow (Cash provided) by financing activities:

= Cash inflow from financing activities - Cash outflow from financing activities

= ($300,000 - $60,000)

= $240,000

Under IFRS, Interest paid can be classified under financing (or operating) activities.

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3 years ago