Answer:
A. 3403.75 dollars
B. 3150
C. 0.579
D. Is an attachment
Explanation:
A. We first find the premium cost
= 0.05x5000 x 1+0.06/4
= 250x1.015
= 253.75
From here we find expected dollar cost
= Exchange rate x units + premium
= 0.63x5000+253.75
= 3,403.75 dollars
B. Forward rate = 0.63
Total cost of dollar
= 0.63x5000
= 3150
C. The investor would be indifferent at 0.579
Forward rate = unit * future + premium
3150 = 5000 * future + 253.75
3150-253.75 = 5000*future
We solve and divide through by 5000
Future = 0.579
D is in the attachment
Answer:
Municipal Revenue bonds are bonds that are serviced from the income accrued from a project that the bond was used to embark on.
They can therefore be serviced by a variety of income methods that accrue from the projects such as;
- User fees for using the asset built
- Special taxes
- Lease rentals in cases where the asset is leased out
- Excise taxes
- Other Non Ad-valorem taxes that result from benefits attached to usage of the asset built.
Answer:
C) standardization strategy
Explanation:
standardization strategy can be regarded as one whereby a business owner or firm give same treatment to the whole world as if it's just one market that have just small meaningful variation It's base on an assumption that needs of people can be met with a product.
Answer:
The correct option is C) place utility
Explanation:
Place utility is the utility which is created for a product by making that product available to near by locations of the customers so that they can easily get access to those products. Same strategy is being applied in the question by E-gadgets , who are making their stores available to such locations , where their customers ( upper middle class and wealthy neighborhoods) can get access to the products easily( less than 15 minutes in the given case).
A medium-sized hardware manufacturer wants to become deeply involved in exporting, but it does not yet wish to actually manufacture any of its products overseas. The hardware manufacturer should establish it's own sales offices in foreign countries.
Explanation:
By establishing its own sales offices in foriegn countries, the benefits which come through are :
Expanding Brand Recognition : By opening a branch in a new country, a company has the opportunity to expand the reach of their brand.
- More Cost-Effective Production and Manufacturing : There are advantages to setting up a foreign subsidiary in another country where there may be a cost-effective manufacturing and production industry
- Access to Technical Skills / Regional Knowledge : Some foreign countries have greater access to advanced technology and are more adept with technical skills.
- Customer Service Centers : Multinational companies with established international customers may need to open a foreign branch office for customer service reasons, and will look for a business friendly location for that purpose.
- Part of a Global Expansion Plan : Some countries serve as an excellent base, enabling the foreign company to expand into the region.
