Answer:
€1.54/$1.00
Explanation:
When the bond sells at par, the implicit €/$ exchange rate pays €651.25 at maturity per €1000
651.25/1000= 1/x
Cross multiply
651.25x = 1000
x= 1000/651.25
x= 1.54
Hence the implicit exchange rate is €1.54/$1.00
Answer:
d.All of these choices would reduce risk for your portfolio and therefore show at least some benefit to diversification
Explanation:
Which of the following securities could NOT have any benefits for diversification with your investment portfolio? All of these choices would reduce risk for your portfolio and therefore show at least some benefit to diversification
Answer:
The correct answer is 25%
Explanation:
To calculate the value of the tax rate to decide on the municipal bond, we must take the information of the annual yield minus the expenses associated with this product, on the interest of the corporate bond:
Tax Rate = 1 - (0.0525 / 0.0700) = 25%
In this way, 25% or more, is a percentage of the tax rate that can make them decide on the municipal bond option.
Answer:
Goodwill impairment occurs when a company decides to pay more than book value for the acquisition of an asset.
An impairment is recognized as a loss on the income statement and as a reduction in the goodwill account. The amount of the loss is the difference between the current fair market value of the asset and its carrying value or amount.
Explanation:
Answer:
International investment has become more one-sided, consisting almost entirely of foreign direct investment.
Explanation:
This is because now internationally opportunities are being seized to have a better return on investment , to invest where opportunity cost is better and scope of foreign direct investment includes purchase of assets and shares.
