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ch4aika [34]
3 years ago
9

Because of the high volume of bicycles as a common form of transportation in Beijing and Shanghai, Charles wants to sell his bic

ycle horns to these markets. In this case, the exchange rate is $1 U.S. dollar = 6.42 Chinese yuan. Economically speaking, how are his prospects?A) Not good. The Chinese would not see value in a horn because they are accustomed to just yell at each other in traffic.B) Good because the yuan has strength against the dollar. The Chinese have 6.42 yuan to spend compared to $1 U.S. dollar.C) It depends on the value of the Chinese yuan in relation to the dollar.D) Pretty good because the U.S. dollar is down against the Chinese yuan.
Business
1 answer:
drek231 [11]3 years ago
4 0

Answer:

C) It depends on the value of the Chinese yuan in relation to the dollar.

Explanation:

The exchange rate of a currency gives you a nominal value of the local currency against another foreign currency, but just by having a number doesn't mean a lot. First of all we do not know how much can you really buy with 6.42 yuans, so we are not able to know if $1 is cheap or expensive.

Assuming that the price of the horns is competitive, what can really affect this business is the fluctuations of the currency value. If the yuan appreciates against the dollar, the horns will become cheaper, but if the yuan depreciates against the dollar, the horns will become more expensive.

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Keith_Richards [23]

Answer:

C)The fem cannot exceed its internal rate of growth

Explanation:

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3 years ago
Compensate for the risk. Delay an action. Reject the risk. Transfer the risk. A squad needs to cross a narrow footbridge across
finlep [7]

Answer:

Compensate for the risk

Explanation:

In the context of the scenario given , risk is defined as a form of exposure to a potential dangerous situation.

It is necessary for any person organization facing a risky situation to look for ways of minimizing or avoiding the risk in order to reduce related losses. Risks can be avoided through transfer , rejection , delayed action and compensating the risk,

The method of risk aversion described in the scenario is to compensate the risk.

Compensating the risk is a risk control method of using an alternative means to achieve a particular purpose in order to avoid the related risks to using the initial method.

7 0
3 years ago
budgets that are revised by adding a new quarterly budget to replace the quarter that just elapsed are called:
Natali [406]

Budgets that are revised by adding a new quarterly budget to replace the quarter that has just elapsed are called rolling budgets.

<h3 /><h3>What is rolling budget?</h3>

It corresponds to a more flexible and adaptable type of budget, generally used for companies whose business can be more volatile.

It is used continuously and extended, being updated during the period for the addition of new variables in the existing model. This being valid for use in the future budget.

Any type of budget is a necessary tool for organizations to be able to plan the use of their resources in a structured way that is consistent with their needs and objectives.

Therefore, a continuous or rolling budget helps companies adapt to trends, risks and characteristics of a dynamic market that is constantly changing.

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6 0
1 year ago
Match each term below with the description that fits it best. 1. Treasury stock 2. Issued capital stock 3. Outstanding capital s
saw5 [17]

Answer:

1) shares held by the issuer that is shares of Firm A held by Firm A

2) the amount of shares issued by the firm

3) the amount of shares which are circulating in the market (issued less treasury stock)

4) is the amount the governement angency in charge of regulations approved the firm to issue It cannot surpass this ammount without their permission being granted

5) shares at which a down payment has been made but, not paid in full by the potential stockholders

Explanation:

DISCLAMER:

As the options aren't given I define each concept

3 0
3 years ago
Another bank is also offering favorable terms, so Rahul decides to take a loan of $14,000 from this bank. He signs the loan cont
nikklg [1K]

Answer: $14,426.43

Explanation:

At the end of 4 months and assuming a  12 months and 365 days in a year, the formula to be used to calculate how much Rahul owes is;

We use the formula:

Amount owed = Present Value ( 1 + rate/365 ) ^ 365 * time period

Amount owed = 14,000 * ( 1 + 0.09/365 ) ^ (365 *4/12 )

Amount owed  = $14,426.43

3 0
3 years ago
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