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Vika [28.1K]
4 years ago
5

Economic exposure refers to Multiple Choice the sensitivity of realized domestic currency values of the firm's contractual cash

flows denominated in foreign currencies to unexpected exchange rate changes. the extent to which the value of the firm would be affected by unanticipated changes in exchange rate. the potential that the firm's consolidated financial statement can be affected by changes in exchange rates. ex post and ex ante currency exposures.
Business
1 answer:
n200080 [17]4 years ago
7 0

Answer:

The extent to which the value of the firm would be affected by unanticipated changes.

Explanation:

Economic exposure can be defined as the effect in which a change in the exchange rate have on different organisations. Economic exposure is of great importance to businesses that carry out various foreign transactions because it affects their operations either positively or negatively, therefore it is very essential for organisations to properly manage economic exposure.

A high foreign exchange can lead to an increase in production, this can lead to a reduction in the amount of profit earned by the company.

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A bilateral is a formal agreement between two or more governments!
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3 years ago
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You purchased 100 shares of IBM common stock on margin at $130 per share. Assume the initial margin is 50%, and the maintenance
N76 [4]

Answer:

$46.43

Explanation:

Calculation for Below what stock price level would you get a margin call

First step is to calculate the Loan amount

Loan amount=(100 shares × $130 × 0.5

Loan amount= $6,500 × 0.5 = $3,250

Now let calculate Stock price level

0.30 = (100P $3,250)/100P

30 - P = 100P - $3,250

30-100P= - $3,250

-70P = -$3,250

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P = $46.43

Therefore Below what stock price level would you get a margin call will be $46.43

7 0
3 years ago
g Swifty Corporation issued 3,100 5%, 5-year, $1,000 bonds dated January 1, 2022, at face value. Interest is paid each January 1
slamgirl [31]

Answer:

Dr Cash     $3,100,000

Cr Bonds payable            $3,100,000

Explanation:

Since the bonds were issued at face value of $1000 each,the cash proceeds received from the entire issue of 3,100 bonds can be computed thus:

Cash proceeds=$1000*3,100=$3,100,000

The cash proceeds imply that cash inflows have increased by $3,100,000, as a result cash account should be debited with $3,100,00o while the same amount is credited to bonds payable since an increase in  debt obligation should be a credit entry.

8 0
3 years ago
A company with 100,000 authorized shares of $7 par common stock issued 46,000 shares at $16. Subsequently, the company declared
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Answer:

$27,600

Explanation:

Amount transferred from the retained earnings account to paid-in capital accounts as a result of the stock dividend:

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4 0
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Answer:

The answer is true

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3 years ago
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