Answer:
The euro return to investing directly in euros is 180 5% 10% 360 = × ÷ , so the euros available in 180 days is EUR10,000,000 × 1.05 = EUR10,500,000. Alternatively, the EUR10,000,000 can be converted into Swiss francs at the spot rate of EUR1.1960/CHF. The Swiss francs purchased would equal EUR10,000,000 / EUR1.1960/CHF = CHF8,361,204. This amount of Swiss francs can be invested to provide a 180 4% 8% 360 = × ÷ return over the next 180 days. Hence, interest plus principal on the Swiss francs is CHF8,361,204 × 1.04 = CHF8,695,652. If we sell this amount of Swiss francs forward for euros at the 180-day forward rate of EUR1.2024/CHF, we get a euro
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return of CHF8,695,652 ×EUR1.2024/CHF = EUR10,455,652. This is less than the return from investing directly in euros.If these were the actual market prices, you should expect investors to do covered interest arbitrages. Investors would borrow Swiss francs, which would tend to drive the CHF interest rate up; they would sell the Swiss francs for euros in the spot foreign exchange market, which would tend to lower the spot rate of EUR/CHF; they would deposit euros.
Explanation:
Answer:
The corrected Net income = $54,500
Explanation:
Net income is defined as the total profits earned by an individual from a business venture. It is equal to the difference between the gross income and the expenses involved including cost of supplies and accrued salaries.
Given: net income = $58,000
Entries not made include supplies expense = $2,200 and accrued salaries = $1,300
Therefore, the corrected net income = net income - expenses = $58,000 - ($2,200 + $1,300) = $54,500
The answer to this question is life expectancy.
Life expectancy is defined as <u>the average amount of time an organism (in this case, a human being) is expected to live based on his or her demographic factors, such as age and gender.</u>
Thus, based on the conducted analysis in the question, it can be said that a divorced individual will not live as long as a married individual. However, <u>you need to remember that this is correlational research</u>, thus it cannot be said that divorce <em>causes </em>people to die earlier.
Answer:
The firm's weighted average cost of capital if the tax rate is 34 percent is 12.69%
Explanation:
total assets = common stock value + preferred stock value + debt
= 23000*57 + 6000*48 + 350000*102%
= 1956000
WACC
= (common stock value/total assets) * common stock rate of return
+ (preferred stock value/total assets) * preferred stock rate of return
+ (debt value/total assets) * yield to maturity of debt * (1-tax rate)
= (1311000/1956000)*14.2% + (288000/1956000)*7% + (357000/1956000)*8.49*(1 - 34%)
= 12.69%
Therefore, The firm's weighted average cost of capital if the tax rate is 34 percent is 12.69%
Answer:
The correct answer is letter "B": Customer dissatisfaction impact.
Explanation:
Customer dissatisfaction arises when the good or service provided by a company does not meet the needs of the consumers. The direct result of this situation is reflected in the quantity demanded of the product in reference, provoking an overload of supply since the buyers start purchasing less every time.
