Answer:
C) devaluation and revaluation
Explanation:
Devaluation and revaluation is the way that government changes the exchange rate of it's currency in relation to others.
Devaluation is the reduction of the exchange rate of a countrie's currency usually against the United States dollar. This reduces the currency value in relation to the foreign currency.
Revaluation on the other hand is when a country increases the exchange rate, making the value higher against foreign currency.
Answer and Explanation:
The computation is shown below:
a. Current price is
= D1 ÷ (Required return - Growth rate)
= ($1.20 × 1.04 ÷ (0.1 - 0.04)
= $20.8
b. Now the price in three year is
P3 = Current price × (1 + Growth Rate)^3
= $20.8 × (1.04)^3
= $23.40
c. For price in 10 year it is
P10 = Current price × (1 + Growth Rate)^10
= $20.80 × (1.04)^10
= $30.79
We simply applied the above formula
Marketing links producers to customers.
That is the answerzb
