1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Slav-nsk [51]
3 years ago
8

The Turkish Lira (TL) was officially devalued by the Turkish government in February 2001 during a severe political and economic

crisis. The Turkish government announced on February 21 that the lira would be devalued by 20%. The spot exchange rate on February 2001 was TL 68,000/$.
(a) What was the exchange rate after a 20% devaluation?
(b) Within three days the lira had plummeted to TL100,000/$. What percent change was this from the predevaluation rate?
Business
1 answer:
ryzh [129]3 years ago
6 0

Answer:

a) The exchange rate after a 20% devaluation is TL85,000/$

b) The percent change was this from the predevaluation rate is -32%

Explanation:

a) exchange rate after devaluation = (exchange rate before devaluation)/(1 - Devaluation)

                                                      = TL68,000/(1-20%)

                                                       =  TL68,000/(0.80)

                                                        = TL85,000

Therefore, The exchange rate after a 20% devaluation is TL85,000/$

b) percentage change = (starting exchange rate - ending exchange rate)/ending exchange rate

                                      = (TL68,000 - TL100,000)/TL100,000

                                      = -TL32,000/TL100,000

                                       =  -0.32

Therefore, The percent change was this from the predevaluation rate is -32%

You might be interested in
__________ is the amount a business earns after deducting what it spends for salaries and other expenses.
Lana71 [14]

Answer:

profit

Explanation:

profit is a financial return or reward that an entrepreneur aims to achieve to reflect the risk it takes. Profit is also an important signal to other providers of finance to a business. Banks, suppliers and other lenders are more likely to provide finance to a business that can demonstrate that it makes a profit and that it can pay debts as they fall due.

4 0
3 years ago
Janet saw on the news where a family of seven children perished in a house fire—it was also revealed that the house did not cont
andreev551 [17]

Answer:

Proposition of Fact    

Explanation:

A proposition of fact is the argument that tries to convince the audience about a course of action which the argument maker desires everyone must accept. So in this scenario, Janet brings forward a solid argument which is supported by the accident outcome and this argument can be used to convince the audience.

5 0
3 years ago
Ratio analysis:___________.
Mnenie [13.5K]

Answer:

D. Serves as an initial evaluation of the adequacy of an investment's expected cash flows.

Explanation:

Ratio analysis serves as an initial evaluation of the adequacy of an investment's expected cash flows.

Ratio analysis can be defined as the analysis of different pieces of financial information in the financial statements of a business.

Ratio analysis is used to get insight about the financial wellbeing of a business. It is used by analysts to determine various aspects of a business, such as its profitability, liquidity, and solvency.

7 0
3 years ago
If the next year’s dividend is forecast to be $5.00, the constant growth rate is 4%, and the discount rate is 16%, then the curr
SCORPION-xisa [38]

Answer:

The answer is $41.67

Explanation:

Po = D1/r - g. This formula is called Discount Dividend Model and it is one of the methods used in valuing company's stock.

Po is the present or current value of the stock

D1 is the next year dividend payment

r is the discount rate

g is the growth rate.

Po = $5.00 /0.16 - 0.04

= $5.00/0.12

=$41.67

Therefore, the current stock price is $41.67

6 0
3 years ago
logan asks his friends, family, teachers and coaches if they know anybody who can tell him more about a career in which he is in
kondor19780726 [428]
Well,  it matters what career he wants.  If it involves his family friends and coach,  them he  should ask them.
7 0
3 years ago
Read 2 more answers
Other questions:
  • ​Thornton, Inc. has budgeted sales for the months of September and October at $ 302 comma 000 and $ 264 comma 000​, respectively
    6·1 answer
  • Although GDP is a reasonably good measure of a nation's output, it does not necessarily include all transactions and production
    14·1 answer
  • What is the difference between an invoice and a purchase order?
    8·1 answer
  • The financial statements of Calloway Company prepared at the end of the current year contained the following elements and corres
    6·1 answer
  • Youngstown Rubber reports the following data for its first year of operation.
    10·1 answer
  • Suppose that the price of a pizza is $10 and the price of a video game is $30. Currently, Aaron is consuming such that the ratio
    7·1 answer
  • For accounting errors, which of the below sentences is true?
    10·1 answer
  • Luke works in an accounting firm that offers services such as tax preparation and external auditing to corporate companies. Luke
    6·1 answer
  • Why are file naming conventions essential
    5·2 answers
  • Each student ticket for an art museum costs $12. 50. The total cost for student tickets, t, varies directly as the number of tic
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!