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Ksju [112]
3 years ago
10

Assume the spot exchange rate for the Hungarian forint is 267.767 HUF. Also assume the inflation rate in the United States is 1.

6 percent per year while it is 3.5 percent in Hungary. What is the expected exchange rate three years from now
Business
1 answer:
Margarita [4]3 years ago
3 0

Answer: 283.322 HUF

Explanation:

Following the information given in the question, the following can be deduced:

Spot rate = 267.767

Foreign currency interest rate (rf) = 1.6%

Home currency interest rate (rh) = 3.5%

Number of years (n) = 3

Therefore, the expected exchange rate 3 years from now will be calculated as:

= Spot × (1+(rh - rf))^n

= 267.767 × [1 + (35% - 16%)]³

= 267.767 × [1 + (0.035 - 0.016)]³

= 267.767 × 1.0581

= 283.322 HUF

Therefore, the expected exchange rate 3 years from now will be 283.322 HUF.

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B the responsiveness of quantity demanded of a good due to a change in its price. 

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B ...

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An actionable segment is one that A.allows the marketing mix to operate.B. has resources to purchase the product.C. perceives th
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a. allows the marketing mix to operate

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3 years ago
Use the following information to answer the question(s) below. A company near a large city is required to keep its smokestack po
meriva

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Over this 10-year period, the benefit to cost ratio is:

= 1.33.

Explanation:

a) Data and Calculations:

Cost of additional anti-pollution equipment = $2 million

Estimated useful life of the equipment = 10 years

Additional annual labor cost for equipment usage = $100,000

This gives a total labor cost of $1 million over the 10-year period.

Therefore, the total cost = $3 million

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The benefit-to-cost ratio (BCR) = $4/$3 = 1.33

b) The Benefit-to-cost ratio (BCR) is a cost–benefit analysis that summarizes the value-for-money of a project by expressing the relationship between the project's benefits and costs in monetary terms. The BCR shows the future profitability of investment alternatives or options. It is normally expressed in terms of net present value.

8 0
3 years ago
Your neighbor offers you an investment opportunity, which will pay a single lump sum of S2,000 five years from today. The invest
Mazyrski [523]

Answer:

This question has a missing information. I have found the complete version and pasted it down below;

"Your neighbor offers you an investment opportunity, which will pay a single lump sum of S2,000 five years from today. The investment requires a single payment of <em>$1,500 today</em>. The return on the investment is % A. 4.195 B. 4.729 C. 5.361 D. 5.922 E. 6.961 "

Explanation:

This question requires you to find that discount rate given a single future cashflow. $2,000 is expected 5 years from today, hence the future value. $1,500 payment today is the dollar value today, hence the Present value.

Using a financial calculator, you will key in the following inputs;

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Recurring payment; PMT = 0

Future value; FV = 2,000

then find the rate by keying in CPT I/Y = 5.922%

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3 years ago
Briefly define the concepts of management and leadership and explain at least two differences between them
blondinia [14]

Answer:

Leadership is the potentiality to influence behaviour , primarily towards group encouragement towards short term goal realisation & also motivating them them to achieve long term visions.

Management is the letting work done by strategisation, organisation & coordination of people & activities to achieve defined objectives.

Differences between Management & Leadership:

Leadership includes establishing strategic decision & refining vision . Management includes planning & budgeting , developing processes & setting timelines.

Management as in idea has more essence of focusing on objectives, tends to mitigate risks. Leadership as an idea is based on vision & relationship enhancement , taking risky decisions for it .

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