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LenKa [72]
3 years ago
9

On December 1, 2008, Secure Company bought a 90-day forward contract to purchase 200,000 euros (€) at a forward rate of €1 = $1.

35 when the spot rate was $1.33. Other exchange rates were as follows: Spot Forward Rate for Rate March 1, 2009 December 31, 2008 $ 1.34 $ 1.36 March 1, 2009 1.33 Required: 1. Prepare all journal entries related to Secure Company's foreign currency speculation from December 1, 2008, through March 1, 2009, assuming the fiscal year ends on December 31, 2008. 2. 2. Did the company gain or lose on its purchase of the forward contract?

Business
1 answer:
navik [9.2K]3 years ago
6 0

Answer

The answer and procedures of the exercise are attached in the following archives.

Step-by-step explanation:

You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.  

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Kreter, Inc. earned net income of $300,000 last year. This year it wants to earn net income of $450,000. The company's fixed cos
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Answer:

sales is $2,500,000

Explanation:

The target sales for the company to achieve a net income of $450,000 in the current year equals the net income plus variable cost plus the fixed costs.

To understand this better,let us use the net income formula:

net income=sales-variable costs-fixed costs

by changing the subject of the formula,we the formula for sales:

sales=net income+variable costs+fixed costs

variable costs=sales*70%=0.7 sales

sales=$450,000+$300,000+0.7 sales

sales-0.7 sales=$750,000

0.3 sales=$750,000

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8 0
3 years ago
What does it mean that stocks and bonds are relatively liquid? a. They are easier to buy and sell than other forms of investment
Ksenya-84 [330]

Answer:

The answer is A.

Explanation:

They are easier to buy and sell than other forms of investment. When they say an asset is liquid, it means it can easily be turned or converted to cash. Liquid stocks and bonds are easier to sell and buy because they will be see a buyer and seller to pay in exchange for cash.

Illiquid means they are difficult to sell and buy or they are difficult to be converted to cash

8 0
3 years ago
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What can cause the market demand curve for day-old bread -- an inferior good -- to shift rightward (an increase in demand)
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A factor that can cause the market demand curve for day-old bread to shift rightward is a decrease in income.

<h3>What is an inferior good?</h3>

An inferior good is a good whose demand falls when income rises and increases when income falls. An inferior good is a good whose demand increases when income falls.

<h3>What is an increase in demand?</h3>

An increase in demand occurs when the demand for a good increase as a result of factors other than a change in the price of a good. When there is an increase in demand, there would be a shift to the right of the demand curve.

For more information about the increase in demand, please check: brainly.com/question/25871620

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aleksley [76]

Answer:

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The 7​-year ​$1 comma 000 par bonds of Vail Inc. pay 9 percent interest. The​ market's required yield to maturity on a​ comparab
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