All categories

3 years ago

Which of the following best explains what happens to the exchange rate of a

Business

1 answer:

grigory [225]3 years ago

7 0

Answer:

the correct answer is D. The exchange rate for that currency changes depending on the operations of the free market

Explanation:

their is this market called Foreign Exchange market or simply known as the FOREX Market. It is the largest market in the world where trillions of dollars are exchanged daily.

the main determinant of the prices and the exchange rates of the each currency is the market supply and demand. more demand will set the rates higher while more supply will decrease the rates.

nowadays, currencies are not pegged to the gold prices and we abandoned the gold standards some time ago. so gold prices have no effect on the exchange rates now.

You might be interested in

What is a traditional economy

statuscvo [17]

A traditional economy is<span> an original economic system where traditions, customs, and beliefs shape the goods and services the economy produces, and also the the rules and manner of their distribution.</span>

8 0

3 years ago

Read 2 more answers

Logan and Johnathan exchange land, and the exchange qualifies as like kind under § 1031. Because Logan's land (adjusted basis of

ZanzabumX [31]

Answer:

a. Logan's recognized gain is $38,600

b. Logan's recognized gain is $23,160

Explanation:

a. If the worth of the land for Jonathan is $183,350, then the gain recognized by Logan would be;

the lower of the realized gain between the amount realized of $231,600 - adjusted basis of $193,000 = $38,600

or the fair market worth of the received boot i.e $48,250.

Therefore, Logan's recognized gain is $38,600

b. Suppose Jonathan's land is worth, $208,440, then we can calculate Logan's recognized gain to be ;

the lower of the realized gain I.e amount realized of $231,600 - adjusted basis $193,00 = $38,600

or the fair market value of the received boot I.e $23,160 .

Therefore, Logan's recognized gain is $23,160

6 0

3 years ago

This information relates to Sherper Co. 1. On April 5 purchased merchandise from Newport Company for $22,000, terms 2/10, n/10.

Feliz [49]

Answer:

April 5, purchased merchandise on account terms 2/10, n/10

Dr Merchandise inventory 22,000

Cr Accounts payable 22,000

April 6, paid freight costs

Dr Merchandise inventory 900

Cr Cash 900

April 7, purchase equipment on account

Dr P, P & E - Equipment 26,000

Cr Accounts receivable 26,000

April 8, returned some merchandise (April 5th purchase)

Dr Accounts payable 2,000

Cr Merchandise inventory 2,000

April 15, paid merchandise invoice

Dr Accounts payable 20,000

Cr Cash 19,600

Cr Purchase discounts 400

May 4, paid merchandise invoice

Dr Accounts payable 20,000

Cr Cash 20,000

If the company pays the invoice on April 15th, it will get a 2% discount which must be recorded as a purchase discount.

5 0

2 years ago

What is the most important responsibility of project manager

Delicious77 [7]

Leading,Controlling/Measuring Evaluating and Correcting. ,Planning,and Organizing

8 0

3 years ago

ABC Services reported the following transactions for September, 2013. A) The owner opened the business with a capital contributi

NemiM [27]

Answer:

ABC Services

The total liabilities at the end of September, 2013

= $9,000

Explanation:

a) Data and Calculations:

Capital contribution = $23,500

Equipment = $11,500

Cash payment for equipment = $2,500

Note payable on equipment = $9,000

Insurance expense paid = $1,350

Utility expense paid = $980

Rent paid = $2,000

Sales = $12,000

Cash Sales = $7,200 (60% of $12,000)

Credit Sales = $4,800 (40% of $12,000)

Office furniture paid = $9,700

Therefore, total liabilities at the end of September, 2013 = $9,000. This represents the note payable for the office equipment purchased in B.

8 0

2 years ago