Available Options Are:
A. Reduce the probability that PPP shall hold.
B. Increase the probability that PPP shall hold.
C. Increase the probability the IFE will hold.
D. B and C
Answer:
Option A. Reduce the probability that PPP shall hold
Explanation:
The reason is that Purchasing Power Parity Theory assumes:
- Perfect Market Conditions,
- No Trade Barriers exist.
- No Transaction Cost exists.
- No technological dominance of other countries
- Free Trade across the world
These are some factors that will definitely affect the reliability of the theory. Hence these assumptions are unrealistic and it is obvious that the model will not hold true because of these unrealistic assumptions and other factors like interest rate, government debt, recession, etc.
Hence the option A is correct here.
If Option A is correct then Option B is incorrect because is totally opposite.
Option C is incorrect because it assumes that their are no external factors that will be affecting the exchange rate which means that the exchange rate is not controlled by the government. This means it only holds for long term and not for short term. Hence the Option C is incorrect.
Answer:
The sustainable Growth Rate is 15.46%
Explanation:
Return on equity= (Net income/Equity Shareholder's Fund) * 100
= ($19,789 / $83,200) * 100
= 23.78%
Payout ratio is 35%.
Therefore, Retention Rate is 65% or 0.65
Sustainable Growth Rate = Return on Equity * Retention Rate
= 23.78% * 0.65 =
= 0.2378 * 0.65
= 0.15457
= 15.46%
Thus, the sustainable Growth Rate is 15.46%
Sandra is involved in production.
Production can be described as the process of transforming or converting resources into goods and services.
In any organization, the depart that is in charge of production is the production or operation department.
Therefore, Sandra is involved in production.
The reason is that the transformation of resources into goods and services is her key job role at the company.
Learn more here: brainly.com/question/1462114.
Answer:
idk, just go for it if its wut u want
Explanation: