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Firlakuza [10]
4 years ago
12

20. As the expected future spot rate moves closer to the spot rate, uncovered interest parity indicates that: The answer depends

on whether the expected future spot rate is higher or lower than the spot rate. interest rates should diverge. interest rates should remain constant. interest rates should converge.
Business
1 answer:
NISA [10]4 years ago
3 0

Answer:

The answer depends on whether the expected future spot rate is higher or lower than the spot rate

Explanation:

Based on the scenario been described in the question, where we see that expected future spot rate moves closer to the spots rate the uncovered parity rate will indicate whether the expected future spot rate is higher or lower than the spot rate

The Uncovered Interest Rate Parity (UIRP) is a financial definition that assumes that the variation in the nominal interest rates within two countries will be the same to the relative changes in the foreign exchange rate over equal period.

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Which of the following line items would appear on the income statement of a company that uses the periodic inventory​ system, bu
irga5000 [103]

Answer:

C) Cost of Goods Available for Sale

Explanation:

Cos of goods available for sale appears in income statement made under periodic Inventory system but it does not in the income statement made under perpetual inventory system. In per periodic system COGS is calculated by adjusting purchases, allowances for purchases, freight and all other cost to cost of goods available for sale. By deducting closing inventory we calculate the COGS. On other hand in perpetual system purchases are added in the opening and purchase return and closing inventory deducted to reach at COGS.

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4 years ago
The money supply includes all of the following EXCEPT
Zanzabum

Answer:

The correct answer is (C) lines of credit accessible with credit cards.

Explanation:

It is important to recognize that demand deposits are not automatically part of the money supply by virtue of their own existence; they continue to be equivalent to money as long as the subjective estimates of the sellers of goods in the market think they are so equivalent and accept them as such in return.

All economists, of course, include standard money in their money supply concept. The rationale for including demand deposits is that people believe that these deposits can be exchanged in standard sight money, and therefore treat them as equivalent, accepting the payment of demand deposits as a substitute for payment. cash. But if demand deposits must be included in the money supply for this reason, it follows that any other entity that follows the same rules must also be included in the money supply.

7 0
3 years ago
Steel Mill Inc. makes an offer to Tom to enter into a contract to work as a mechanical engineer for a certain salary for one yea
KIM [24]

Answer:

d. an offer and an acceptance.

Explanation:

A contract exists where each involved party agrees to fulfill its obligations as per the terms of the agreement. The two or more parties involved are in consensus regarding the subject matter.  A contract valid and in force, once the offeror makes the offer, and the offeree accepts it.  

Steel and mike are in are contract. Mike has accepted the offer by steel. Other elements that must be present for a contract to be valid are the existence of consideration, mutual obligations, and the ability to fulfill one's responsibility.

4 0
4 years ago
During the current period, Roberts recognized interest expense of $9,400 and paid interest of $9,000 related to its discounted b
VARVARA [1.3K]

Answer:

amortization on discount on BP 400

Explanation:

When there is a difference between the face value and the issuance proceeds from the bond a premium or discount is created.

When the proceeds are above, there will be a premium and the interest expense will be lower thant the actual cash outlay on the bond.

When theface value is above the proceeds, there is a discount.and expenses are higher than cash payment to bondholders.

In this case the expense is higher so there is a discount.

6 0
3 years ago
On your way to a restaurant you notice a billboard advertising a local gym. There is a picture of a fit, young man and woman in
gregori [183]

Answer:

Creative Advertising

Directional Advertising:.

Explanation:

Creative Advertising:

 You are spreading your message on a fence, trying to create interest in your service and trying to guide your audience in this way create awareness, need or brand in the market

 

Directional Advertising:

When placing the ad, "who says that exercising can't be fun? " They are in front of people who really seek your service. Your audience knows what you want, but you don't know who to call

6 0
4 years ago
Read 2 more answers
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