1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
creativ13 [48]
3 years ago
12

foreign project in Hungary and another in Japan had the same perceived value from the U.S. parent's perspective. Then, the excha

nge rate expectations were revised, downward for the value of the Hungarian forint and upward for the Japanese yen. The break-even salvage value for the project in Japan would now be ____ from the parent's perspective.
Business
1 answer:
worty [1.4K]3 years ago
7 0

Answer:

The correct answer is higher than that for the Hungarian project.

Explanation:

The break-even point is defined as that point or level of sales in which the total income is equal to the total costs and, therefore, no accounting profit or loss is generated in the operation. It is a mechanism for determining the point at which sales will exactly cover total costs. The breakeven point is also known as the Cost-Volume-Profit ratio, and emphasizes the different factors that affect profit. The break-even point allows determining the minimum number of units that must be sold or the minimum value of sales to operate without losses. The analysis of the break-even point answers the question related to the decisions that must be made about the planning of the profits of a company or an investment project. In this regard, it is convenient to say that the study of any investment project must include the calculation of the sales levels (either in units or in pesos) that are required for  reach operational balance.

You might be interested in
As a result of conducting a gap analysis, the potential entrepreneur proved there was a need for the business. This is called do
Vera_Pavlovna [14]

Answer:

due diligence

Explanation:

Due diligence refers to an entrepreneur or a business man/woman basically doing their homework, i.e. investigating thoroughly about a business opportunity before deciding to accept a business proposal, enter a new market, or start a new business.

Many times, management is required by law to perform due diligence before entering a new business or signing certain contracts, but it is just common sense that before you start a new business you will try to find out if the business is feasible or not.

7 0
3 years ago
Which of the following is an arbitrage opportunity?
FromTheMoon [43]

Answer:

D. The bank offers you a loan at 4% interest and a savings account that pays 5% interest.

Explanation:

<em>Arbitration</em> is a <em>financial strategy</em> that consists of the price difference between different markets on the same financial asset to obtain an economic benefit, usually without risk.

To perform arbitration, complementary operations (buy and sell) are carried out at the same time and wait for prices to adjust. The arbitration takes advantage of this divergence and obtains a risk-free gain. In other words, the arbitrajista is positioned short (sells) in the market with higher price and long (purchase) in the market with lower price. The benefit would come from the difference between the two markets.

7 0
2 years ago
Maximum diversification benefit can be achieved if one were to form a portfolio of two stocks whose returns had a correlation co
lisov135 [29]

Answer:

-1.0

Explanation:

Diversification in a portfolio refers to spreading investments in such a way so as to minimize risk.

The correlation coefficient r between two securities signifies how return from one security is related with another security. For example, two securities of the same sector may move in the same direction or positively correlated as in if price of one rises, the price of other rises too maybe not by the same margin.

In case of a negative correlation, the security returns move in opposite directions i.e the securities are least related to one another.

Maximum diversification is achieved when r is equal to -1 i.e the two stocks move in opposite direction by the same magnitude.

4 0
2 years ago
On February 1, 2018, Cue Company acquired 1,000 shares of its $1 par value stock for $47 per share and held these shares in trea
Drupady [299]

Answer:

The journal entries to record both transactions should be:

February 1, 2018, repurchase of 1,000 stocks at $47

Dr Treasury stocks 47,000

    Cr Cash 47,000

April 10, 2019, treasury stocks were sold at $50

Dr Cash 50,000

    Cr Treasury stocks 47,000

    Cr Additional paid in capital 3,000

Treasury stocks account is a contra equity account with a debit balance that reduces the value of total stockholders' equity.

7 0
3 years ago
Is the following scenario a partnership? Ghost-writing a text book for an author and splitting profits equally.
GalinKa [24]

Answer: no

Explanation:

5 0
3 years ago
Other questions:
  • “You’ve been specially selected to win our grand prize. Contact us to collect it!” This is probably a(n) _____.
    8·2 answers
  • The three steps to follow when organizing your notes to create a study guide are
    7·2 answers
  • Using the sequential method, Pone Hill Company allocates Janitorial Department costs based on square footage serviced. It alloca
    10·1 answer
  • What business messages are better organized directly, and which is better organized indirectly?
    6·1 answer
  • Hunt Company purchased factory equipment with an invoice price of $90,000. Other costs incurred were freight costs, $1,100; inst
    13·1 answer
  • Nidal Company reported inventory in the 2020 year-end balance sheet, using the FIFO method, as $185,000. In 2021, the company de
    8·2 answers
  • Clabber Company has bonds outstanding with a par value of $123,000 and a carrying value of $111,100. If the company calls these
    14·1 answer
  • . Underwater Experimental is considering a project which requires the purchase of $498,000 of fixed assets. The net present valu
    10·1 answer
  • Reconciliation of pretax accounting income and taxable income: Pretax accounting income $ 179,000 Permanent differences (16,100
    13·1 answer
  • True or false: If Dogs R Us overstates ending inventory on the balance sheet, then total equity on the balance sheet will be ove
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!