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Brrunno [24]
3 years ago
12

Which of the following is the least likely strategy for a U.S. firm that will be purchasing Swiss francs in the future and desir

es to avoid exchange rate risk (assume the firm has no offsetting position in francs)?
a. Purchase a call option on francs.
b. Sell a futures contract on francs.
c. Obtain a forward contract to purchase francs forward.
d. All of the above are appropriate strategies for the scenario described.
Business
1 answer:
sleet_krkn [62]3 years ago
3 0

Answer:B. Sell a futures contract on francs.

Explanation: Futures contracts are contracts that involves the legally agreed purchase or sale of an asset,a commodity or a foreign currency at a given price in a specified period in the future.

Most organisations and Government agencies go into futures contracts especially in situations where foreign exchange is expected to rise in future. THE OBLIGATION OF THE BUYER IS TO ENSURE THAT HE OR SHE BUYS THE ASSET, COMMODITY or CURRENCY WHEN THE FUTURES CONTRACTS EXPIRES.

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How much would you need to deposit in an account now in order to have $6000 in the account in 15 years
vlada-n [284]

Answer:

$400

Explanation:

So we know that is 15 years you will have $6000

so $6000 divided by 15 years.This will bring you how much money you have to deposit each year..

6000/15

400

so..

you will have to deposit $400 every year in 15 years.

8 0
2 years ago
When coca-cola wanted to regain market share for its vitaminwater product lines, it based its marketing strategy on a __________
crimeas [40]

When coca-cola wanted to regain market share for its vitaminwater product lines, it based its marketing strategy on a "situation analysis",....................


Prior to building up any marketing strategy, it is essential to lead a situation analysis. A situational analysis is a basic piece of any business or marketing plan and ought to be looked into intermittently to guarantee that it is kept current.  

A situational analysis characterizes the inner and external factors of an organization or association and obviously recognizes the capacities, clients, potential clients and the business condition and the effect they may have on that association or business.

5 0
3 years ago
AG Inc. made a $10,000 sale on account with the following terms: 1/15, n/30.
puteri [66]

Answer:

(C) $10,000

Explanation:

Debit Accounts Receivable for $10,000

4 0
3 years ago
Economists use gross national product (GNP) to measure ___
rusak2 [61]

Economists use the gross national product (GNP) to measure <u>the output of a nation’s citizens, regardless of where they are. </u>

<h3>Further explanation </h3>

Gross National Product or GNP measures the total output produced by a country's residents, regardless of where they are. Therefore, any output produced by foreign residents within the country must be excluded in calculations of GNP, while any output produced by the country's residents outside of the country must be counted.

Gross national product calculates by adding these factors below:

<h3>Consumption + Government Expenditures + Investments + Exports + Foreign Production   </h3>

Another important economic measure is Gross Domestic Product (GDP). GDP measures the total output produced in the country, regardless of who they are. GDP is the most widely used to measure a country's economic activity. The difference between GNP and GDP may indicate that a country is more engaged in international trade. The larger the difference between a country's GNP and GDP, the greater international activities.

<h3>Learn more </h3>

Gross National product brainly.com/question/1086262

GNP and GDP brainly.com/question/1228512

GNP vs GDP brainly.com/question/853464

Keywords: GNP, Gross National Product, GDP, Gross Domestic Product, International trade

6 0
4 years ago
Read 2 more answers
A share of common stock just paid a dividend of $1.00. If the expected long-run growth rate for this stock is 5.4%, and if inves
BlackZzzverrR [31]

Answer:

$11.98

Explanation:

A share of common stock just made a dividend payment of $1.00

The expected long-run growth rate of for this stock is 5.4%

= 5.4/100

= 0.054

The investors required rate of return is 14.2%

= 14.2/100

= 0.142

The first step is to calculate the dividend year 1(D1)

D1= Do(1+g)

= 1(1+0.054)

= 1×1.054

= $1.054

Therefore, the stock price can be calculated as follows

Po= D1/(rs-g)

= 1.054/(0.142-0.054)

= 1.054/0.088

= $11.98

Hence the Stock price is $11.98

3 0
3 years ago
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