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lora16 [44]
3 years ago
13

Suppose an increase in the demand for dollars has caused an appreciation of the dollar. According to the purchasing power parity

theorem, the value of the dollar in the future will:
Business
1 answer:
Leviafan [203]3 years ago
4 0

Answer:

Appreciate more

Explanation:

Suppose an increase in the demand for dollars has caused an appreciation of the dollar. According to the purchasing power parity theorem, the value of the dollar in the future will appreciate more. This is because the shift in demand and supply will cause an increase in the value of the dollar. Purchasing power parity (PPP) is a theory which states that exchange rates between currencies are in equilibrium when their purchasing power is the same in each of the two countries.

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The Smiths are saving money for a down payment on a house. The Smiths have $25,000 in cash, and they estimate that in 5 years th
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Options :

A)net present value of the $25,000.

B)future value of the $25,000.

C)internal rate of the return on the $25,000.

D)present value of $25,000.

Answer: B)future value of the $25,000.

Explanation: The Smith's calculation and subsequent result which yielded $31,000 refers to the future value of $25,000. The initial $25000 is the present value of the amount held. If the initial amount is saved or deposited over a certain number of years in an account which yields a certain rate of interest per annum and is compounded either on a monthly, yearly, quarterly or semiannual basis as the case may be, in this scenario above, the interest is called mounded annually. This initial amount will grow and yield an amount which is greater than the present deposit. This is called the future value of the initial deposit.

8 0
2 years ago
In the models that describe population growth, r stands for __________.in the models that describe population growth, r stands f
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<span>In the models that describe population growth, R stands for per capita population growth rate. The per capital growth rate is determined by the number of births and deaths within a city, state or country. In the models, the R will represented these numbers. </span>
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3 years ago
Manuel earned a college degree in computer science and now works at a rea lly laid-back dot-com. His high school business teache
RoseWind [281]
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8 0
3 years ago
Researchers now recognize three major types of behavior that constitute performance at work. Which of the following are these th
valina [46]

Answer:

Answer 1: task performance, citizenship, counterproductivity

Answer 2: Citizenship.

Explanation:

Here is the complete question: Question 1: Researchers now recognize three major types of behavior that constitute performance at work. Which of the following are these three major types of behavior?

     a. task performance, productivity, tenure.

     b. productivity, efficiency, absenteeism.

     c. task performance, citizenship, counterproductivity

     e. Citizenship, counterproductivity, personality.

     f.  leadership, knowledge, efficiency.

Question 2: Treating co-workers with respect, making constructive suggestions, and saying positive things about the workplace are a part of the ________ behavior that constitutes performance at work.

Citizenship refer to actions that contribute to the psychological environment of the organization, such as helping others when it is not required. It benefit the team and organization in better functioning and effieciency. These behavior are generally recognized by boss and business leaders.

3 0
3 years ago
Microtech Corporation is expanding rapidly and currently needs to retain all of its earnings, hence it does not pay dividends. H
12345 [234]

Answer:

Di = dividend in year i

D0 = D1 = D2 = 0

D3 = 2

D4 = D3 * (1+24%) = 2.48

D5 = D4 * (1+24%) = 3.0752

D6 = D5 * (1+7%) = 3.290464

require return r = 14%

g = 7% in the long run

So stock price in year 5 = D6/(r-g) = 3.290464/(14%-7%) = 47.0066

Current price = Present value of dividends and stock

= D1/(1+r) + D2/(1+r)^2 + D3/(1+r)^3 + D4/(1+r)^4 + D5/(1+r)^5 + Price in year 5/(1+r)^5

= 0 + 0 + 2/(1+14%)^3 + 2.48/(1+14%)^4 + 3.0752/(1+14%)^5 + 47.0066/(1+14%)^5

= 28.829219

= 28.83 (rounded to 2 decimals)

Explanation:

5 0
3 years ago
Read 2 more answers
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