Answer: (D) Form Utility
Explanation:
The form utility is one of the type of concept that helps in increasing the actual value of the products in the market and in the form utility following example are the type of finished product that the customers are willing to purchase are as follows:
- Electronics products
- Furniture type goods
- Parts of vehicle
According to the given question, the given situation is helps in demonstrating that the electronic commerce plays an important contribution to the consumers value by the creating of the form utility.
Therefore, Option (D) is correct answer.
Answer:
6.86011 Turkish liras per US dollar
Explanation:
US's inflation 3% for the next 3 years
Turkey's inflation 7% for the next 3 years
current Lira/Dollar spot rate (L/$) = 5.6702 (liras per dollar)
- inflation rate US = (1 + 0.03)⁵ = 1.159274
- inflation rate Turkey = (1 + 0.07)⁵ = 1.402552
difference = 1.402552 / 1.159274 = 1.20985 x current spot rate = 1.20985 x 5.6702 = 6.86011
Since the Turkish inflation rate is higher than the American inflation rate, then the Turkish lira will depreciate faster than the US dollar.
Answer:
B. Ordinal
Explanation:
Ordinal scales of measurement is the second level of measurement that measures non numeric concepts like happiness, comfort, discomfort, etc
ordinal scale identifies rank of variables with orders like good, very good, excellent etc. An example of ordinal scale of measurement is the Likert scale with measures data with orders like strongly agreed, agreed, , disagreed, strongly disagreed .
In ordinal scale of measurement, it is the order that matters. Therefore a bank that allows its customers to evaluates its drive - thru service as good, average or poor is using the ordinal scale of measurement
Answer:
a. $425,000
Explanation:
<em>Calculation of compensated absences expense for the year</em>
Closing balance of compensated absences = $150,000
+ Payments made for compensated expenses = $400,000
- Opening balance of compensated absences =<u> - $125,000</u>
Compensated absences expense for the year = $425,000
Answer:
a. U.S. Company should use a short forward contract to hedge currency risk.
b. $0.5931
c. A gain of $0.0456 is recognized by the company
Explanation:
a. As the company will receive settlement in Swiss francs in three months time, the currency risk is at the time of settlement receipt, Swiss francs will not be worth as much as it is expected against US dollar (or depreciated against USD). Thus, the company has to take the short position in forward contract to sell Swiss francs in three months time at predetermined rate.
b. We have F = S0 x ( 1+ USD rfr ) ^(90/365) / (1+ Swiss franc rfr) ^(90/365) = 0.5974 x 1.02^(90/365) / 1.05^(90/365) = $0.5931.
c. Value of the gain in the short position will be calculated at the time of 60-day-remaining to maturity as followed:
F at the beginning/ ( 1+ USD rfr) ^ (60/365) - Spot rate at the 60-day-remaining to maturity/ (1+ Swiss franc rfr) ^(90/365) = 0.5931/1.02^(60/365) - 0.55/1.05^(60/365) = $0.0456.
