1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Sloan [31]
3 years ago
11

Which of the following is an example of capital outflow for Germany?a. German company Haribo sells a production facility in Irel

and to an Irish competitor b. Volkswagen exports the new 2014 VW Beatle to the United Kingdom c. GM sells stock in Audi to German resident d. Kinder, another German company, acquires Haribo in a multimillion dollar transaction
Business
1 answer:
Drupady [299]3 years ago
7 0

Answer:

c. GM sells stock in Audi to German resident

Explanation:

It means a capital outflow for Germany because a foreing company to Germany sells its shareholding position in a German Company,

the sale means that a German Resident gives money to a foreign company in exchange for the Audi shares.

You might be interested in
The Quorum Company has a prospective 6-year project that requires initial fixed assets costing $962,000, annual fixed costs of $
diamong [38]

Answer:

5375

Explanation:

Given that:

Initial Fixed assets costing = $962000

Annual fixed costs = $403400

Variable cost per unit = $123.60

Sales price per unit = $249.00

Discount rate = 14%

Tax rate = 21%

The contribution per unit = Sales price - Variable cost

= $(249.00 - 123.60)

= $125.40

The present value break-even point(BEP) is the region of sales level where the net present value (NPV) equals zero.

Assuming that the sales level = p

i.e.

NPV = PV(of inflows - of outflows)

Inflows = (p * contribution per unit - annual fixed cost)( 1- tax rate) + depreciation * tax rate

= (p * 125.4 - 403400) ( 1 - 0.21) + depreciation * tax rate

where;

depreciation = initial fixed assest cost/ lifetime of the project

= (125.4p - 403400)*0.79 + (962000/6)*0.21

= (125.4p - 403400)*0.79 + (160333.33)*0.21

= (125.4p - 403400)*0.79 + 33670

Now, the PV of the inflows =PV factor(6 years, 14%) * inflows

= inflows * \dfrac{( 1-(1.14)^{-6})}{0.14}

= inflows * 3.8887

Replacing the value for inflows, we have:

=((125.4p - 403400)*0.79 + 33670)* 3.8887

The PV of the outflows = Initial Fixed asset cost = $962000

∴

Equating both together using:

PV(of inflows - of outflows) = 0

((125.4p - 403400)*0.79 + 33670)* 3.8887 - 962000 = 0

((125.4p - 403400)*0.79 + 33670)* 3.8887 =  962000

(99.066p - 318686 + 33670) * 3.8887 =  962000

(99.066p - 285016) * 3.8887 =  962000

385.24p - 1108341.72 = 962000

385.24p= 962000 + 1108341.72

385.24p= 2070341.72

p = 2070341.72 / 385.24

p ≅ 5375

6 0
2 years ago
Suppose the interest rate on a 1-year T-bond is 5.00% and that on a 2-year T-bond is 7.00%. Assume that the pure expectations th
Tasya [4]

Answer: 9.04%

Explanation:

1 year rate today = 5% = 0.05

2 years rate today = 7% = 0.07

Maturity of longer bond = 2

The ending return if the 2 years bond are bought will be thesame as the needed return on series of a year bond which will be 1.1449

The market's forecast for 1-year rates 1 year from now will be calculated as:

= 1.05(1+X) = 1.1449

1.05 + 1.05X = 1.1449

1.05X = 1.1449 - 1.05

1.05X = 0.0949

X = 0.0949/1.05

X = 0.090381

X = 9.04%

5 0
2 years ago
As a new investment adviser (IA) firm, your company wants to obtain more clients. In an attempt to do so, one of the employees s
IRISSAK [1]

Answer:

D) is not acceptable because such a guarantee would cause a conflict of interest pertaining to the IA's fiduciary duty to each client

Explanation:

The members of the North American Securities Administrators Association (NASAA) must follow their Model Rule which prohibits investment adviser firms from guaranteeing investment results, in other words they cannot guarantee a minimum profit.

In this case the employee suggested that if their clients didn't earn a minimum 12% profit, then they would refund any fees collected. But the IA firm is not allowed to guarantee the 12% value increase or profit.

8 0
3 years ago
If you have a $150,000 30-year 5% mortgage, how much of your first monthly payment of $805.50 would go toward principal?
Mama L [17]
The answer is $625.000 
5 0
3 years ago
Read 2 more answers
Jacob and Marla were both presented with a complex accounting issue that neither had seen before. Marla was able to look at the
devlian [24]

Answer: Generally, when trying to solve a complex accounting problem in which there are obstacles and little knowledge about the subject, the most advisable thing is to work from a conceptual framework which serves as a guide to find a reasonable answer to the problem in question. In this case Marla was clearly working with a conceptual framework, and instead Jacob was not.

4 0
3 years ago
Other questions:
  • The United States Navy purchases uniforms from a single supplier. For the last twenty-five years, the trousers purchased from th
    6·1 answer
  • Torque corporation is expected to pay a dividend of $1 in the upcoming year. dividends are expected to grow at a rate of 6% per
    11·1 answer
  • The database of Aster Corp. was hacked and confidential data was leaked to its competitors. This resulted in a huge financial lo
    5·1 answer
  • If a developing country wishes to attract mass tourism it must:
    5·1 answer
  • A person who teaches you coaches you and helps you to advance in your career is known as a?
    11·1 answer
  • You go on vacation to Mexico and take $1,000 with you. During your time in Mexico, the peso appreciates in value relative to the
    14·2 answers
  • If a stock consistently goes down (up) by 1.6% when the market portfolio goes down (up) by 1.2%, then its beta equals:
    15·1 answer
  • What are 2 ways to add a customer to QuickBooks Online?
    13·1 answer
  • Tyrell Co. entered into the following transactions involving short-term liabilities. Year 1 Apr. 20 Purchased $36,000 of merchan
    6·1 answer
  • Tempo Company's fixed budget (based on sales of 16,000 units) for the first quarter of calendar year 2017 reveals the following.
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!