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3 years ago

How Central Bank control the activities of the Commercial Bank?

1 answer:

7 0

The Central Bank is the "banker" to banks, government, and financial institution, where the Commercial Bank is the "banker" to the citizens. The Central Bank is the monetary authority of the country. The Central Bank does not deal with the general public, but Commercial Bank does

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Digital Fruit is financed solely by common stock and has outstanding 40 million shares with a market price of $20 a share. It no

Marina CMI [18]

Answer:

Digital Fruit

The expected market price of the common stock after the announcement is:

$20 per share.

Explanation:

Outstanding number of shares = 40 million

Market price of outstanding shares = $20 a share

Total market capitalization = $800 million

Debts introduced = $310 million

Market capitalization after the debt issue = $490 million ($800 - 310 million)

Number of shares bought back = $310 million /$20 = 15,500,000

Outstanding number of shares after the buy-back = 40 million minus 15.5 million

= 24,500,000 shares

Expected market price of the common stock after the announcement

= $490,000,000/24,500,000

= $20 per share

3 0

3 years ago

v91. If a U.S. dollar purchases 4 Argentinean pesos, and a gallon of milk costs $3 in the U.S. and 6 pesos in Argentina what is

Alla [95]

The real exchange rate is 1 dollar = 2 Argentine pesos

The exchange rate is an economic term to refer to the relationship between two currencies. The exchange rate establishes the proportion of value that exists between two currencies. For example:

1 Dollar is equivalent to 4 Argentine pesos

However, this rate does not represent reality in some places, there may be situations in which the proportions established by the exchange rate are not faithful to reality. For example:

3 Dollars or 6 Argentine pesos are used to buy 1 gallon of milk.

In this example, it is evident that in reality, the dollar is not equivalent to 4 Argentine pesos but to 2 due to the proportion of value concerning a product. Therefore, the real exchange rate is 2 Argentine pesos for every American dollar.

Learn more in: brainly.com/question/15169469

6 0

3 years ago

To make low-profit customers more profitable the ABC bike shop-

Anna007 [38]

Answer:

C) allows existing customers to upgrade to a newer model by trading in their older model.

D) though it previously offered free delivery, now charges for deliveries made outside the city.

Explanation:

If ABC company wants to change low profit customers into more profitable customers, they need to:

encourage low profit clients to buy larger quantities by offering promotions (e.g. get a discount if you buy a bike, helmet and other gear all together)
forgo certain services or features to low profit customers, e.g. free delivery only for expensive bikes
increase the price of your product for low profit customers (e.g. charge a delivery cost for cheap bikes)
offer upgrading options to low profit clients

8 0

3 years ago

Assume you are a brand manager of a clothing brand that offers formal clothing for gents in mid-tier market segment. The brand i

vlada-n [284]

Answer:

Following steps are followed to carry out research for declining sales,

Define the problem

List possible solution

Evaluate each alternative solution

Finalize the solution

Implement the solution

Measure results

Explanation:

Sales is very crucial element for any business. The declining sales at gents clothing brand has created a problem for business managers. The declining sales will results in many problems like, inventory obsolete issues, lesser profits, increase cost and similar. The main reason for declining sales could be change in fashion or trend. Gents clothing is very much impacted by celebrities. If some popular celebrity has changed its way of dressing the impact can be observed in entire fashion industry.

8 0

3 years ago

Wholemark is an Internet order business that sells one popular New Year greeting card once a year. The cost of the paper on whic

Orlov [11]

Answer:

9644

Explanation:

cost of paper on which a card is printed = $0.40 per card

cost of printing = $0.10 per card

profit made per card sold = $3.75

number of areas where customers are located (n)= 4

mean of customers from each region = 2300

standard deviation for each region = 200

note : each region is independent

The optimal production quantity for the card can be calculated going through these steps

first we determine

the cost of card = $0.10 + $0.40 = $0.50

selling value = $3.75

salvage value = 0

next we calculate for the z value

= ( selling value - cost of card) / ( selling price - salvage value )

= ( 3.75 - 0.50 ) / 3.75 = 0.8667

Z( 0.8667 ) = 1.110926 ( using excel formula : NORMSINV ( 0.8667 )

next we calculate

<em>u</em> = n * mean demand

= 4 * 2300 = 9200

б = $200\sqrt{n}$ = 200 * 2

= 400

Hence optimal production quantity for the card

= <em>u</em> + Z (0.8667 ) * б

= 9200 + 1.110926 * 400

= 9644.3704

≈ 9644

3 0

4 years ago