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s344n2d4d5 [400]
2 years ago
7

Laura Cervantes is a currency speculator and she sells eight June futures contracts for 500,000 pesos at the futures price of 0.

10773 $/MXN.a) What is the value of her position at maturity if the ending spot rate is $0.12002/MXN?b) What is the value of her position at maturity if the ending spot rate is $0.09802/MXN?
Business
1 answer:
Yuki888 [10]2 years ago
6 0

Answer and Explanation:

The computation is shown below:

Given that

June Futures Contract = 500000 Pesos (MXN)

And Number of Contracts Sold = 8

And, Initial Exchange Rate = 0.10773 $ / MXN

Now

Initial Position Value is

= 8 × 500000 × 0.10773

= $430920

Now

(a) The value of her position is

Final Exchange Rate = $0.12002 / MXN

Final Position Value is

= 8 × 500000 × 0.12002

= $480080

So,  

Net Position Value is

= 430920 - 480080

= - $49160

And,

(b) The value of her position is

Final Exchange Rate = $0.09802 / MXN

Final Position Value is

= 8 × 500000 × 0.09802

= $392080

So,

Net Position Value is

= 430920 - 392080

= $38840

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A team is trying to determine the best process type for producing a new product family. The product consists of a base model wit
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Answer:

The correct answer is the option A: Cell

Explanation:

To begin with, the name of "Cellular Manufacturing" is known in the business field for being one type of manufacturing process that can be selected among others in order to use it as the method of excellence to produce the good that the company wants to sell. Moreover, this type of process is characterized by the fact that the process involves a number of various machines that do a task in particular, called cells, that can easily change that task in order to do another one that the manufacturer will need so that implicates that this type of method is very helpfull in those companies who develop products that are intended to be changed continuously.

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2 years ago
Both firms in a Cournot duopoly would enjoy lower profits if:
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Answer:

each firm simultaneously increased output above the Nash equilibrium level.

Explanation:

A French mathematician, Antoine Augustine Cournot developed the Cournot duopoly in his economic model “Researches into the mathematical principles of the theory of wealth”, of 1838.

Cournot duopoly also known as the Cournot competition, is an economic model where two (2) business firms having identical cost functions compete in a oligopolistic market of imperfect competition with homogeneous products.

Under the Cournot duopoly, the competing firms offer identical products and thus, choose an amount or quantity to produce independently and at the same time because they cannot collude.

Both firms in a Cournot duopoly would enjoy lower profits if each firm simultaneously increased output above the Nash equilibrium level.

Hence, the advantage of the Cournot duopoly is that, it inhibits competing firms from deviating unilaterally.

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3 years ago
An automated turning machine is the current constraint at Jordison Corporation. Three products use this constrained resource. Da
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Answer:A. LN, JQ, RQ

Explanation:

To know the current profitability, we need to determine the contribution margin unit  by the minutes on the constraints .

a) For LN  

Contribution by unit =  Selling price per unit- Variable cost per unit

$ 161.88 -$116.12 = $45.76

Contribution by the minutes = Contribution by unit / Minutes on the constraint

= $45.76/ 2.60 = 17.60

B) For JQ

Contribution by unit =  Selling price per unit- Variable cost per unit

$ 350.41 -$279.11 = $71.3

Contribution by the minutes = Contribution by unit / Minutes on the constraint

= $71.3/ 4.60 = 15.50

c) For RQ  

Contribution by unit =  Selling price per unit- Variable cost per unit

$ 446.71 -$338.71 = $108

Contribution by the minutes = Contribution by unit / Minutes on the constraint

= $108/ 7.50 = 14.40

In order of their current profitability from most profitable to least profitable, We have LN with 17.60, next JQ with 15.50 and the least RQ with 14.40  

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3 years ago
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yanalaym [24]

Answer:

deferral

Explanation:

Adjusting entries are when changes are made to already recorded journal entries.

Categories of adjusting entries :

  1. accrued revenues
  2. accrued expenses
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  5. depreciation.

Prepaid expenses are payments made for services yet to be delivered.

For example, paying for a year's worth of subscription on your streaming service

Prepaid expenses is an example of deferred payment, so the adjustment should be a deferral

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