Answer:
C. availability.
Explanation:
The availability bias and misinterpretation is the result of increased frequency and omnipresence of information that does not reflect its importance or correctness.
Here, Jill is clouded by how much car deaths are propagated in the media, so she fails to realize the correct answer, despite the fact that stomach cancer could seem rational in her mind.
Answer:
D.
Explanation:
In this scenario when Rob stops nagging Jeff he is implementing the behavior modification known as avoidance learning. This technique theorizes that and individual tends to remove themselves from a scenario in order to avoid certain bad or stress inducing situation. Which Rob does in order to avoid having to deal with Jeff being cracking jokes and goofing off later.
Answer:
alitalia should do the forward hedge to hedge its transaction exposure
Explanation:
Alitalia can construct the money market hedge as follows
1. borrow Euro whose present value is equal to the amount to be paid.
2. convert it to foreign currency at the current spot rate.
3. place it in a deposit
4. make the payment when the deposit reaches maturity
PV of payment = 10000000/1.05
= 9523809.525
converting in to Euro at the spot rate we get 6802721.09 Euros
so Alitalia has to borrow the above amount and convert it and invest it at 5%.
now the payable amount from the loan is 6802721.09(1+0.03) = 7006802.72 Euros
Hence Alitalia has effective managed to locl in a forward rate of 1.427$/euros (10000000/7006802.72)$/euros
Therefore, alitalia should do the forward hedge to hedge its transaction exposure
Answer:
$205,000
Explanation:
Total liabilities=current liabilities+long-term liabilities
total liabilities=$150,000+$220,000
total liabilities=$370,000
total owners'equity plus liabilities=$320,000+$370,000=$690,000
long-term assets+current assets=liabilities+owners'equity
long-term assets=$485,000
current assets are unknown
liabilities+owners'equity=$690,000
let CA represent current assets
$485,000+CA=$690,000
CA=$690,000-$485,000
CA=$205,000
The answer is A. The owner has a lot of his own money invested in the business.
