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Alex17521 [72]
3 years ago
6

Assume that a country with an open economy has a fixed exchange-rate system and that its currency is currently overvalued in the

foreign exchange market. Which of the following must be true at the official exchange rate?
a. The quantity of the country's currency supplied is less than the quantity demanded.
b. The quantity of the country's currency supplied exceeds the quantity demanded.
c. the demand curve for the country's currency is horizontal.
d. The supply curve for the country's currency is horizontal.
e. The domestic interest rate is equal to the interest rate in that of the world.
Business
1 answer:
olasank [31]3 years ago
7 0

Answer: b. The quantity of the country's currency supplied exceeds the quantity demanded.

Explanation:

A country operating a fixed-exchange rate system would be actively trading its currency to ensure that it remains at a certain rate. If the currency is overvalued, it means that the currency is actually weak and is being propped up by the company's actions in the forex market.

A reason for the weakness would be that the supply is higher than the demand of the currency which means that, as per the rules of supply and demand, the currency is trading at a lower price, i,e., it is weak.

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Answer:

Option (C) is correct.

Explanation:

Total expenses:

= mortgage interest + property tax + utilities and maintenance + Depreciation expense

= $5,000 + $600 +  $900 + $3,500

= $10,000

Proportionate rental expenses = Total expenses × \frac{36\ days}{(36 + 14) days}

Proportionate rental expenses = 10,000 × \frac{36\ days}{(36 + 14) days}

= $7,200

Rental Loss = Rental Income - Proportionate rental expenses

                   = $4,000 - $7,200

                   = -($3,200)

7 0
3 years ago
A FLSA covered enterprise is the related activities performed through unified operation or common control by any period or perso
alexandr402 [8]

Answer:

Is an activity or a public agency

Explanation:

The FLSA represents the Fair Labor Standards Act. It is a federal law and it sets the minimum amount of wages, the record, the overtime as well as employment standards. FLSA stipulates an employee coverage either as an individual coverage or an enterprise coverage

For the enterprise cover as required in this question, an enterprise can only be covered if

1. The enterprise has minimum of two employees

2. The annual volume of sales is a minimum of $500,000

3. The enterprise can also be covered if it carries out activities such as providing medical care for its people, providing preschools or main (secondary or university) schools for children or the enterprise is an hospital. It is also covered if it is a public or government agency.  In order words <u>an activity or a public agency. </u>

6 0
3 years ago
Federal facilities, and the security measures they require, are divided into five levels. A ________ facility has more than 450
alex41 [277]

Answer:

Level IV

Explanation:

Security levels of United States Federal buildings are used to allocate safety measures such as glazing to reduce injury from broken glass, distance for traffick to the building, and prevention of building collapse.

There are levels one to five.

Level IV facilities has more than 450 employees, 80,000 to 250,000 square feet of office space, and a high volume of public contact.

Usually used by law enforcement or ntelligence agencies such as ATF, FBI, DEA, and Federal courts

7 0
3 years ago
The final step of judging an advertisement’s effectiveness is to
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Determine why it worked or why it did not.
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3 years ago
Dewyco has preferred stock trading at per share. The next preferred dividend of is due in one year. What is​ Dewyco's cost of ca
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Answer:

6%

Explanation:

some information is missing:

market price of preferred stock = $50

preferred stock dividend = $3

preferred stocks' cost of capital = preferred stock dividend / market price of preferred stock = $3 / $50 = 0.06 = 6%

Preferred stocks' cost of capital is not affected by any corporate tax rates, since preferred dividends are considered paid in capital and cannot be deducted as interests in the income statement.  

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