Answer:
$15.43
Explanation:
Following actions are required for triangular arbitrage:
Available: $ 10,000
Buy sterling pound @ 1 $ = 1.62 pounds and receive pounds 6172.84 upon conversion.
Now, sell these pounds and purchase NZ $ at the rate :
1 pound = NZ $ 2.95 and receive NZ$ 18209.87
Now, reconvert the above proceeds into US $ at the rate
1 NZ $ = $0.55 i.e sell NZ $ at this rate and receive US $ 10,015.4285
Hence profit from implementing triangular arbitrage is $10,015.43 - $10,000
= $15.43
Arbitrage refers to the prospect of earning a profit by utilizing the mispricing in two different financial markets. An arbitrageur never uses his own funds and always borrows.
Arbitrage works only in the scenario wherein the interest rate purchase parity (IRPT) does not hold good.
The strategy of arbitrage is best explained as "Buy at low price and sell at a high price".
B
in the theory, they do not talk about this cave drawing lket alone caves, so let it be, my answer is B
since he has to pay it 2 times a year, it should be divided by 6. so 84/6=14
Answer: C. $14
Answer:
product mixes include product lines.
Explanation:
The product line is a group of products that are interrelated as they satisfy the needs and also they are used together and are sold to the similar customer group via similar outlets
It involved the product line that are offered by the company
Therefore according to the given situation, last one is correct answer
And, the same would be relevant
Answer:
The correct answer is C. Loss occurs.
Explanation:
If the contribution margin is not sufficient to cover fixed expenses:
The contribution margin is calculated by deducting from sales the variable components. <u>Unless the selling price is lower than unitary variable costs, contribution margin will never be negative.</u>
When the contribution margin is lower than fixed costs, the company incurs on a loss.
