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
Ymorist [56]
3 years ago
13

Suppose a Lexus LS400 and a Mercedes C300 are considered to be of equivalent value. The Lexus sells for 6,000,000 Japanese yen i

n Tokyo and the Mercedes sells for 50,000 euros in Stuttgart. Using the purchasing power parity theory, explain the exchange rate between the yen and the euro.
Business
1 answer:
yarga [219]3 years ago
3 0

Answer:

1 EUR = 120 JPY

Explanation:

As the purchasing power parity theory, the exchange rate of currency 1 to currency 2  = Cost of good  in currency 1 / cost of same valued item  in currency 2

In this case,  a Lexus LS400 and a Mercedes C300 are considered to be of equivalent value, then the exchange rate between the yen and the euro

= price of Lexus in Tokyo/ price of Mercedes  in Stuttgart

= 6,000,000 JPY/ 50,000 EUR

= 120 JPY/EUR

You might be interested in
GavelCo Insurance sells an insurance policy to Barry in the state of Colorado. GavelCo violates a Colorado state statute when do
dimulka [17.4K]

Answer:

enforceable by Barry, the purchaser, and he can recover from the insurer if applicable.

Explanation:

GavelCo has violated a statute when it sold the insurance policy to Barry in Colorado. If due to this failing on the part of GavelCo Barry has an issue with the insurance coverage, he has a right to enforce the insurance contract on GavelCo.

If there is a coverage he is entitled to he can recover it from GavelCo.

Even when an insurer violates a statute when issuing insurance, the purchaser can still recover from the insurer.

8 0
3 years ago
If some of a person's wealth is in cash, it follows that Select one: a. this person's monetary wealth will change as the price l
kvasek [131]

Answer:

The answer is A.

Explanation:

If a person's wealth is in cash, price level changes in the economy will definitely affect the his monetary wealth.

Price level changes arise as a result of inflation. Increase in general price level in the economy will reduce the purchasing power of the cash. For example, a good that used to sell for $2, it now goes for $5.

And if there is decrease in general price level, the purchasing power of the cash will increase.

8 0
3 years ago
Demands differ from wants because:______.
elena55 [62]

Answer:

The correct answer is:

demands reflect a decision about which wants to satisfy and a plan to buy the good, while wants are unlimited and involve no specific plan to acquire the good. (d)

Explanation:

Let me first try to define what demand and want are:

want: want is a desire for a product or service. It is said that wants are unlimited, however, the resources to actualize such wants are in a limited supply.

Demand: Demand is the quantity of good or service that a person is willing and able to pay for because of the availability of resources to do so, at a given price and time.

For a clearer understanding, demand can be seen as a subset of want that a consumer takes a further step to acquire, not just desire. There is a specific plan to acquire such wants.

5 0
2 years ago
Select all that apply. why might a person choose a job or career that doesn't interest him? family pressure desire or need for a
mariarad [96]
All of them sound like the answer
5 0
3 years ago
During May, Joliet Fabrics Corporation manufactured 600 units of a special multilayer fabric with the trade name Stylex. The fol
Anika [276]

Direct labour rate variance = (3875) unfavourable, Direct labour efficiency rate = (800) unfavourable

<u>Explanation:</u>

<u>Computation of Direct Material Price & Quantity Variance </u>

Direct Material Purchase - Price variance  = (SP minus AP) multiply AQ Purchase  ($1.45 minus $1.48) multiply19000  = ($570) Unfavourable

Direc Material Quantity Variance =(SQ-AQ)SP  =

((20 multiply600)-10500) multiply$1.45 =  $2,175 Favourable

Direct Material Price variance - (SP minus AP)AQ Used  = ($1.45minus $1.48) multiply10500 = ($315) Unfavourable

<u>Computation of Direct Labour Rate & Efficiency Variance </u>

Direct Labour Rate variance  = (SR minus AR)multiply AH  

= ($8 minus $9.25) multiply3100  = -3875 Un Favourable

Direct Labour Efficiency Variance  (SH minus AH)multiply SR  

= ((5 multiply 600) minus 3100)multiply8)  = -800 Un Favourable

8 0
3 years ago
Other questions:
  • Through band-aid's continuous commitment to quality and constant product innovations, band-aid has been able to increase the con
    9·1 answer
  • A customer comes into your shop carrying a gorgeous oval bowl. It’s very large and low, and has a pale gray crackled glaze. He t
    10·2 answers
  • Concord Corporation had 2020 net income of $809,000. During 2020, Concord paid a dividend of $2 per share on 60,500 shares of pr
    8·1 answer
  • A pay policy line Question 36 options: can be generated using a statistical method called regression analysis. can seldom provid
    10·1 answer
  • The following inventory transactions took place near December 31, 2018, the end of the Rasul Company's fiscal year-end:On Decemb
    5·1 answer
  • Cypress Exports would like to establish retail outlets in​ Mongrovia, a​ quasi-democratic African country with a growing middle
    12·1 answer
  • Direction: Arrange the following words.
    13·1 answer
  • 1) Synovec Co. is growing quickly. Dividends are expected to grow at a rate of 30 percent for the next three years, with the gro
    10·1 answer
  • Question 4
    9·1 answer
  • In the workplace today, more emphasis is being put on mental health. But sometimes, employees don't want to be seen as being una
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!