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JulsSmile [24]
3 years ago
14

Farmer Ted planted 200 acres in wheat this year. The weather has been perfect and he expects to harvest a record crop within the

next two weeks. At present, he has no storage facilities and therefore must sell his crop as soon as it is harvested. Which one of the following risks is he facing because he must sell his crop at whatever the market price is at harvest time?
a. Futures risk.
b. Volatility exposure.
c. Surplus risk.
d. Transactions exposure.
e. Translation exposure.
Business
1 answer:
mina [271]3 years ago
5 0

Answer:

d. Transactions exposure.

Explanation:

Transactions exposure -

It is the level of uncertainty involved in a business in the international trade face .

It is the risk which currency exchange rates would fluctuate after the firm has taken a financial obligation .

The high level of vulnerability to shift the exchange rates can lead to the loss of the major capital for the international business .

Hence from the information of the question , the correct answer is  d. Transactions exposure .

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As an accountant for hartley enterprises, you are responsible for preparing the statement of cash flows. you have transactions f
Ganezh [65]

"Cash flow from financial activities" is the heading." This section of the cash flow statement displays all of your company's financing activity, including equity, loan, and dividend transactions.

<h3>What is cash flow statement?</h3>

A cash flow statement is a financial statement that outlines all cash inflows a company receives from ongoing operations and outside investment sources.

It also includes all cash outflows for business and investment operations over a set period of time.

Thus, "Cash flow from financial activities" is the heading.

For more details about cash flow statement, click here

brainly.com/question/21306581

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5 0
2 years ago
On December 15, 2018, Rigsby Sales Co. sold a tract of land that cost $3,700,000 for $5,000,000. Rigsby appropriately uses the i
xxTIMURxx [149]

Answer:

$127,400

Explanation:

Gross profit ratio = [(sale - cost) ÷ sale price] × 100

                           = [($5,000,000 - $3,700,000) ÷ $5,000,000] × 100

                          = 0.26 × 100

                          = 26%.

Gross profit on down payment is recognized in 2019:

= Down payment × Gross profit ratio

= $490,000 × 26%

= $127,400

5 0
3 years ago
Piper Company sells merchandise on account for $1,800 to Morton Company with credit terms of 2/10, n/30. Morton Company returns
NNADVOKAT [17]

Answer:

The journal entry is as follows:

Cash A/c Dr. $1,176

Sales returns and allowances A/c Dr. $600

Sales discounts A/c Dr. $24

       To accounts receivable                $1,800

(To record the receipt of the check)

Workings:

Sales discount = 2% of ($1,800 - $600)

                        = 0.02 × $1,200

                        = $24

3 0
3 years ago
The fact that Minnie spends most of her time measuring costs and checking to see if departments are staying within their budgets
olga_2 [115]

Answer: B) Managerial Accounting

Explanation:

Minnie is a managerial accountant because she spends her time measuring cost and checking if various departments are still within their budget.

Managerial accounting: It can also be called " cost accounting" or " management accounting". It is a branch of accounting that identifies, measures, analyze, interprete, and communicate financial information to managers. It helps managers make rational decisions regarding the operations of the business.

Minnie as a managerial accountant, needs to analyze various events and operational data in order to translate those data into useful information that can be used by the management in their decision-making process.

Minnie's duty is to provide information regarding the business operations by analyzing data of each department.

6 0
3 years ago
She has read a number of newspaper articles about a huge IPO being carried out by a leading technology company. She wants to pur
Harman [31]

Answer:

Explanation:

I believe the best advice that can be given is to do thorough research into the company before investing and do not invest more than you are willing to lose. Initial Public Offerings (IPO) can be incredibly risky investments because they can be complete scams or can be legit startup companies but make one mistake and quickly go bankrupt causing the shares to be worthless and you lose all of your money. But with great risk comes great reward, If they do manage to take you off you can make a lot of money. Therefore, research and invest only what you can live without is the best advice.

4 0
3 years ago
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