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3 years ago

A can of soda costs $0.75 in the United States and 12 pesos in Mexico.

Business

1 answer:

allsm [11]3 years ago

7 0

Answer:

a) 16 pesos per dollar

b) 32 pesos per dollar

Explanation:

If purchase-power parity holds, the exchange rate should guarantee that the can of sold would cost the same dollar amount both in the United States and in Mexico. The exchange rate is:

$R=\frac{12/ pesos}{\$0.75}\\R=\frac{16/ pesos}{\$}$

If the price of the soda doubles and the parity remains, the exchange rate also double:

$R'= 2*R\\R'=\frac{32/ pesos}{\$}$

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Molly Mocha employs one college student every summer in her coffee shop. The student works the five weekdays and is paid on the

mixer [17]

Answer:

The adjusting entry on 31st July will be;

Salaries Expense (Dr.) $480

Salaries Payable (Cr.) $480

Explanation:

Molly Mocha hires one student who works for 5 days and is paid on Monday. The student who has started working on 28th July Monday then he has worked till 1st August Friday. The adjusting entry need to be made on Thursday 31st July. The student is paid $120 per day so for 4 days of working it will be $120 * 4 days till 31st July. Since Molly Mocha pays salaries on following Monday it should record salaries expense as debit and salaries payable as credit in its accounts.

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3 years ago

investment is made at r percent compounded annually, at the end of n years it will have grown to A = P(1 + r)n . An investment m

bixtya [17]

Answer:

$1,500

Explanation:

Given the compounding formula $A = P(1+r)^{n}$

And given an investment (P), made at 16% compounded annually (r), and an ending amount of $1,740 (A) at the end of the year (n = 1 year), the original amount invested (P) can be computed as follows.

$1,740 = P(1+0.16)^{1}$

$1,740 = P * 1.16$

= P = 1,740/1.16 = 1,500.

Therefore, the original investment was $1,500.

3 0

3 years ago

In the long run, profits in a monopolistically competitive market are zero because: a. of government regulations. b. of collusio

zvonat [6]

Answer:

c. firms are free to enter and exit the market.

Explanation:

A monopolistically competitive market is a market in which there are a lot of organizations that sell products that are similar and it tends to be easy to enter and leave the industry. Because it is easy for a company to enter the market and there is a lot of competition, in the long run the economic profit is zero. According to this, the answer is that in the long run, profits in a monopolistically competitive market are zero because firms are free to enter and exit the market.

The other options are not right because a monopolistically competitive market has zero profits because of its low entry barriers and amount of competitors not because of government regulations or an illegal agreement between organizations to control competition. Also, in a monopolistically competitive market the products are similar.

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3 years ago

Susan is working with the management team in her company to classify data in an attempt to apply extra security controls that wi

Olegator [25]

Answer:

C. Confidentiality

Explanation:

Confidentiality involves actions taken to protect the clients or someone information from the public, this could be private informations, and it is in accordance to law of the land.

Therefore, from this question the principle of information security is Susan trying to enforce is Confidentiality.

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3 years ago

The following information was taken from the segmented income statement of Restin, Inc., and the company's three divisions:

Rainbow [258]

Answer:

d. $75,000

Explanation:

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controllable $130,000 $25,000 $40,000 <u>$75,000</u>

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7 0

3 years ago