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Sholpan [36]
3 years ago
8

Under the gold standard the fixed price of gold was $20.67 per ounce in the United States. The fixed price of gold was £4.2474 p

er ounce in Britain.
a. What is the "fixed" exchange rate (dollars per pound) implied by these fixed gold prices?
b. How would you arbitrage if the exchange rate quoted in the foreign exchange market were $4.00 per pound? (Under the gold standard, you could buy or sell gold with each central bank at the fixed price of gold in each country.)
c. What pressure is placed on the exchange rate by this arbitrage?
Business
1 answer:
madam [21]3 years ago
6 0
The answer of the question is b
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In Spring 2018, Parmac Engineering Company signed a $160 million contract with the city of Parkersburg, to construct a new city
marta [7]

Answer:

By using the percentage-of-completion method the $64 million revenue should Parmac recognize in 2018

Explanation:

Percentage-of-completion method : Under this method,

First we have to calculate the percentage which is based on current period cost to total period cost.

After that, multiply the percentage with the revenue so that we get to know how much revenue is being recognized during an particular year.

In mathematically,

Estimated Cost percentage =  current period cost ÷ total period cost

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                                              = 40%

Now,

Revenue recognized = Estimated cost percentage × Revenue

                                   = 40% × $160 million

                                   = $64 million

Hence, by using the percentage-of-completion method the $64 million revenue should Parmac recognize in 2018

7 0
3 years ago
Mission Foods produces two flavors of tacos, chicken and fish, with the following characteristics:
Alex17521 [72]

Answer:

$1,059,050

Explanation:

The computation of the anticipated level of profits for the expected sales volumes is shown below:

Expected sales             209,000                      305,000

Particulars                     Chicken                          Fish

Sales                              $815,100                       $1,525,000

Less:

Variable cost                -$407,550                     -$762,500

Contribution margin      $407,550                      $762,500

Now the profit would be

= Total contribution margin - total fixed cost

= $407,550 + $762,500 - $111,000

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The sales are variable cost are come by multiplying the units with its price per taco.

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3 years ago
In​ 2011, Kendall​ Ford, an automobile​ dealership, spent​ $20,000 on a new car lift for its repair​ shop, $2,000 on a
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