All categories

3 years ago

Define Bhutanese company with an example

Business

1 answer:

seropon [69]3 years ago

5 0

Answer:

I'll use the profile of Mountain Hazelnuts Group.

This company was initially founded in 2008. They operated in food industry, specifically Hazelnut which is one of the resource that can be easily found in Bhutan.

Their business model is focused on the export. So, they do not necessarily manufacture their nuts into a consumable goods. They get most of their income by packaging the hazelnuts and exporting it to another countries for further production.

Ever since its establishment, this company has advocated for empowerment of women in the workplace. They strive put equal representative between men and women in leadership positions, which is even more rare in Himalayan region compared to western nations.

Currently, this company directly employed more 600 people. This is huge considering that the total population in Bhutan is only around 700,000 people.

You might be interested in

Emil Corp. produces and sells wind-energy-driven engines. To finance its operations, Emil Corp. issued $15,000,000 of 20-year, 9

konstantin123 [22]

Answer and Explanation:

The Journal entry is shown below:-

1. Cash Dr, $15,000,000

To Bonds payable $15,000,000

(Being issue of bonds is recorded)

2. Interest expense on bonds Dr, $675,000

To cash $675,000 ($15,000,000 × 9% × 6 ÷ 12)

(Being payment of interest is recorded)

3. Bonds payable Dr, $15,000,000

To Gain on redemption of bonds $600,000

To Cash ($15,000,000 × 0.96) $14,400,000

(Being redemption on bonds is recorded)

3 0

3 years ago

The common stock of the C.A.L.L. Corporation has been trading in a narrow range around $145 per share for months, and you believ

user100 [1]

Solution and Explanation:

a) Let us calculate the value of call using Put-Call Parity,

i.e. Put + Stock = Call + Present Value of Exercise Price (note that it is 6 - months time period)

$\text { i.e. } 8.19+145=\mathrm{call}+145 / 1.09^{\wedge} 0.5$

$\text { i.e. } 8.19+145=\mathrm{call}+145 / 1.044$

Therefore, Call = $ 14.31

b1) The option strategy best suited in the given condition is - Short or Sell Straddle.

In shorting a straddle, you simultaneously sell a call and a put, thereby earning premium in both the legs of the strategy. It is a neutral options strategy wherein profits can be made when stock price is expected to remain stagnant. However it is to be noted that the profits are limited to the option premium earned on call and put but the risk is unlimited. i.e. only when you are reasonably sure as to the stock price remaining more or less constant, go for short straddle.

b2) Assuming that we went for short straddle, we earn $ 8.19 premium on put and $ 14.31 premium on call i.e. we earn maximum of $ 22.50 on this stock due to our position in options.

b3) WITHOUT CONSIDERING TIME VALUE -

Now, CONSIDERING TIME VALUE - the stock price would need to swing in either direction by ( $22.50 * 1.09 \times 0.5)=$ $ 23.49 for us to start incurring losses.

c) Buy the call, sell the put and lend $ 138.8848

Let 'Price' in the table below denote the stock price at the end of 6 months.

If we take a long position in call, the immediate CF is $ 14.31 (premium outflow).

If we take a short position in put, the immediate CF is $ 8.19 (premium inflow)

Position Immediate CF CF in 6 months CF in 6 months

(if price < X) (if price > X)

Call (Long) -14.31 0 Price - 145

Put (Short) 8.19 - (145 - price) 0

Lending Position $145 / 1.09^{\wedge} 0.5=138.88$ 145 145

Total Price Price

NOTE- FIGURES ARE SUBJECT TO ROUNDING OFF.

3 0

3 years ago

According to purchasing-power parity, if it took 58 Indian rupees to buy a dollar today, but it took 55 to buy it a year ago, th

oksano4ka [1.4K]

Answer:

Given that,

Current exchange rate between India and U.S :

1 Dollar = Rs. 58

Exchange rate between India and U.S a year ago :

1 Dollar = Rs. 55

Above information conclude that the currency of India depreciates whereas currency of united states appreciates.

This is due to the increase in the exchange rate in India. Now, a dollar become more expensive than it a year ago.

So, the Indian rupee depreciated and U.S dollar appreciated.

3 0

3 years ago

Mikan Company’s standard predetermined overhead rate is $9 per direct labor hour. For the month of June, 26,000 actual hours wer

vaieri [72.5K]

Answer:

Allocated MOH= $234,000

Explanation:

Giving the following information:

Predetermined overhead rate= $9 per direct labor hour.

Actual direct labor hours= 26,000

To allocate manufacturing overhead, we need to use the following formula:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 9*26,000

Allocated MOH= $234,000

5 0

3 years ago

The Playa Company has the following information in its records. Certain data have been intentionally omitted ($ in thousands). R

Zinaida [17]

Answer:

Explanation:

using the following formulars

Net purchase = (Gross Purchase) - (purchase return) - (purchase discount) + freight-in

Beginning inventory + Net purchases = cost of goods available for sales

Cost of goods sold = cost of goods available for sale - ending inventory

for 2013 we have that

beginning inventory = cost of goods available for sale - net purchases

Net purchases = 630 - 24 - 18 + 13 = 601

2013, beginning inventory = 876- 601 = 275

Ending inventory = 876 - 627 = 249

2014,

Begning inventory = closing inventory of 2013 = 249

Cost of goods available for sale = 621 + 225 = 846

Net purchase -Cost of goods available for sale - beginning inventory = 846 - 249 = 597

Gross purchase = 597 + 15 + 30 - 32 = 610

2015

Cost of good sold = 800 - 216 = 784

Net purchase = 800 - 225 = 575

purchase discount = 585 -575 - 14 + 16 = 12

4 0

3 years ago