<u>Solution and Explanation:</u>
Assume US Investor need 1000 Pound after 90 days:
Option 1: Forward Option:1000 pound = 1000 multiply with 1.98 = $1980
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Option 2: Invest in UK:
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Need 1000 pound after 90 days
so, Invest in UK pound today 1000 divide by 1.04= 961.5385
to get 961.5385 today he need to pay = 961.5385 multiply with $2 ( Current Spot Rate)
= $1923.077
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Option 3 : Invest in US:
</u>
Need 1000 Pound after 90 days
so forward Exchange rate 1.98 he need 1000 pound* 1.98 = 1980 $ after 90 days
so invest today 1980/1.02 = $1941.176
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Advise: Option 2 is best , Invest in UK Bonds
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In terms of memory, the chunk is a b. A cluster of information.
Chunking refers to the method of taking person pieces of statistics and grouping them into large devices. by grouping every statistics factor into a bigger entire, you can improve the number of facts you may recollect. probable the maximum not unusual instance of chunking takes place in cellphone numbers.
chunking: organizing information into doable bits or chunks. elaborative practice session: thinking about the means of the brand new statistics and its relation to information already stored in your reminiscence.
a bit is a group of factors that are strongly associated with each different, however, are weakly associated with factors in other chunks. Chunking. Combining small gadgets into large ones, such as whilst individual phrases are mixed right into a meaningful sentence. Chunking may be used to increase the capability of memory.
Learn more about Chunking here: brainly.com/question/1119213
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Answer:
The sacrifice ratio could be as small as 0
Explanation:
The Sacrifice Rate is the loss of output due to the fight against inflation, and can be expressed as how much product is lost to reduce inflation by 1 percentage point. The Sacrifice Rate is a proposition by economist Robert Lucas Jr, who noted that the slowdown in long-term inflation is associated with a reduction in the production of goods and services over a period of time until economic agents adapt to the new reality. pricing and restructuring their expectations of the economy. Therefore, the social cost of fighting inflation is a reduction in GDP and an increase in the unemployment rate.
Because of this, we can conclude that if policymakers are committed to reducing inflation and rational people understand this commitment and quickly reduce their inflation expectations, the sacrifice rate can be as low as 0.
Answer:
$150
Explanation:
Calculation of how much income that Gramps will recognize on the first payment.
Since joint survivor annuity has 23.1 as the annual return multiple .
Calculation for Expected return
Expected return =Annual payment *Return multiple
($500*12) =$6,000
$6,000×23.1
=$138,600
Therefore :
$97,020/$138,600
=0.7×100
=70%
The 70% of each of the payment will be the return of capital while the 30%(100%-70%) will be the income.
Hence the first payment be:
30%×500
=$150
Therefore the amount of income that Gramps will recognize on the first payment will be $150
Answer:
D) $45,000
Explanation:
The computation of the amount which is included in the current liability section is shown below:
= Account payable balance + bonds payable - discount on bonds payable + dividend payable
= $15,000 + $25,000 - $3,000 + $8,000
= $45,000
The current liability is that liability which is arise for one year. Since, the notes payable is a long term liabilities so we do not consider in the computation part.
