Answer:
c. Appreciate; Appreciate
Explanation:
Triangular arbitrage is the act of taking an opportunity resulting from a pricing discrepancy among three different currencies when the currency's exchange rates do not exactly match up
This cases are very rare and for a quite short period of time so there are very few traders who takes the advantange of them.
Lets study th given cases here:
A) NZ dollar Versus Mexican Peso
The exchage rate is 1NZ$= 2 Mexican Pesos (MXP)
But if we apply the triangular arbitrage:
1 NZ dollar = 0.3333 US$
and we know tha 1 US$= 7 Mexican Pesos (MXP
Then 1 NZ dollar = 0.3333* 7 MXP= 2.333 MXP
So the NZ dollar appreciates
B) MXP Versus U$S
The exchage rate is 1 MXP= (1/7) U$S
But if we apply the triangular arbitrage:
1 MXP = 0.5 NZ
and we know tha 1 NZ= 0.333 US$
Then 1 MXP = 0.5* 0.333 U$S= 0.166 U$S
So the MXP appreciates
Answer:
False
Explanation:
The need for affiliation refers to the need people have to feel that they are part of a social group. People that have a high need for affiliation requires close relationships and needs to be approved by the people that are close to them. Also, they want to feel that they are part of something that has an important impact. According to this, the statement that says that the need for affiliation is the need to excel is false.
Answer:
Unitary cost= $46.4 per unit
Explanation:
Giving the following information:
Direct materials $9.60 per unit
Direct labor $19.60 per unit
Overhead costs for the year:
Variable overhead $9.60 per unit
Fixed overhead $121,600
Units produced 16,000 units
Under absorption costing, the fixed overhead is allocated to the cost of the product. Therefore, we need to calculate the unitary fixed overhead.
Unitary fixed overhead= 121,600/16,000= $7.6
Now, we can calculate the unitary cost of production:
Unitary cost= direct material + direct labor + total overhead
Unitary cost= 9.6 + 19.6 + 9.6 + 7.6= $46.4 per unit
Answer: 0.000903
Explanation:
Expected return is the sum of the probability that the other returns will happen.
= (13% * 83%) + (5% * 17%)
= 10.79 % + 0.85%
= 11.64%
Variance = ((Return during boom - Expected return)²*probability of boom) + ((Return during recession - Expected Return)²*probability of recession)
Variance = ((13% -11.64%)² * 83%) + (5% - 11.64%)² * 17%)
= 0.0001535168 + 0.0007495232
= 0.000903
Answer:
$21.66
Explanation:
We are to find the present value of $9,999,999,999.
The formula to be used is :
P = FV (1 + r/m) ^-mn
FV = Future value
P = Present value
R = interest rate
N = number of years
M = number of compounding
= $9,999,999,999 ( 1 + 0.02 / 4 ) ^-4000 = $21.66
I hope my answer helps you
