Answer:
The correct answer is option A.
Explanation:
The present value of all free cash flows gives the share value under the free cash flow approach to valuation. It is also called a discounted cash flow valuation.
Answer:
true
Explanation:
The exchange rate is the rate at which one currency is exchanged for another currency
If interest rate is higher in a country compared to other countries, investors would be interested in investing in that country because they would earn a higher return for their investment.
As a result of the higher flow of funds into the economy with the higher interest rate, the demand for the country's currency increases. If the demand increases relative to supply, the value of that currency relative to other currencies increases and its exchange rate increases. this is what is referred to as currency appreciation
Answer:
2. c. 66.982
See explaination
Explanation:
Please kindly check attachment for the step by step solution of the given problem.
Answer:
C. Borrowing $43 at the risk-free rate and investing the total amount ($143) in the risky asset.
Explanation:
Outcome Return For $100 = (115 - 100)/100 = 15%;
0.15 = w1(0.12) + (1 - w1)(0.05)
0.15 = 0.12w1 + 0.05 - 0.05w1
0.10 = 0.07w1
w1 = 1.43($100)
w1 = $143;
(1 - w1)$100 = $100 - $143
(1 - w1)$100 = -$43
Answer:
Adjustments for enterprise fund-basis statements from their original modified accrual basis would not be included in the required reconciliation of the Governmental Fund Balance Sheet to the governmental activities Statement of Net Position.
