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scZoUnD [109]
3 years ago
7

90-day forward rate for the euro is $1.07, while the current spot rate of the euro is $1.05. What is the annualized forward prem

ium or
Business
1 answer:
Akimi4 [234]3 years ago
5 0

Answer:

7.6%

Explanation:

Calculation for What is the annualized forward premium or discount of the euro

Using this formula

Euro annualized forward premium or discount = [(F/S) - 1] x 360 days/90 days

Where,

F represent forward rate $1.07

S represent current spot rate $1.05

Let plug in the formula

Euro annualized forward premium or discount =[($1.07/$1.05) - 1] x 360 days/90 days

Euro annualized forward premium or discount =($1.019-1)×x 360 days/90 days

Euro annualized forward premium or discount =0.019×360 days/90 days

Euro annualized forward premium or discount =0.076×100

Euro annualized forward premium or discount = 7.6 %

Therefore the annualized forward premium or discount of the euro will be 7.6%

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Felipe works for an insurance agency with about 50 employees. The HR director recently sent an email requesting information on w
Zinaida [17]

Answer:

C.  Most people used the reply all button

Explanation:

This is a problem that can occur in companies due to misuse of e-mail functionalities. What happened in this case was that the employees who responded to the HR director's request email, used the reply button to all contacts forwarded in the director's original email, which ends up creating an email chain unnecessary and can hinder and delay the work of other employees, who need to see emails related to their role.

Therefore, the essential thing is that each employee makes use of the e-mail tool effectively, responding only to the recipient of the e-mail and avoiding sending unnecessary and private messages to contacts not interested in the professional subject addressed in the e-mail.

7 0
3 years ago
ABC Corporation, after many profitable years, declares a one-time special cash dividend of $10.00 per share. After the announcem
Crank

Answer:

1 ABC Jan 100 Call

Explanation:

Although the OCC does not usually adjust the strike price of listed options for regular quarterly cash dividends. This is because they are known quantity that are segmented by the market into options premium.

For special cash dividends, they are not a frequent event hence market does not recognize them. This special cash dividend is $10 per share × 100 shares = $1,000 value per contract. It therefore means that the $1,000 value per contract will be adjusted.

The new strike price will be

= 110 - 10 cash dividend

= 100. It also means that the number of shares covered by the contract does not change.

4 0
3 years ago
A relatively steep demand curve indicates that a. quantity demanded will not adjust to a price change. b. quantity demanded will
Scilla [17]

Answer:

The correct answer is option b.

Explanation:

A steep demand curve implies that the demand is relatively inelastic. In other words, a significant change in price will cause a small change in the quantity demanded.  

A flatter demand curve, on the contrary, implies that a small change in price will cause a greater change in quantity demanded. In other words, demand is relatively elastic.  

A change in price will not cause demand to change if the elasticity of demand is perfectly inelastic or when the demand curve is a vertical line.

A change in demand will be equal to the change in price if demand is unitary elastic.

8 0
3 years ago
When a government collect more revenue in one year than it spends there is a budge
ss7ja [257]

there would be a budget surplus

8 0
3 years ago
Why is important to have a checking account savings account and certificate of deposit?
alexdok [17]

Answer:

So you can be prepared to handle future responsibilities about finances.

Explanation:

One prime example would be when you go to college you need to make decisions whether to keep the money or give it away for some fragile reasons/needs. Maintaining a checking account instills the habit to grow & safeguard the savings you might make working after school. Just my two cents! :)

3 0
3 years ago
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