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3 years ago

Select all the correct answers.

Business

1 answer:

Slav-nsk [51]3 years ago

6 0

Answer:

the answer is c.) he will play his favorite game for one hour and do his homework for two hours

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Mr. Smith believes that there is going to be rise in the equities market. Based on this information, what would allow Mr. Smith

White raven [17]

Answer:

The answer is 'Buy a Stock Index Future'

Explanation:

To take best advantage of this situation, Mr Smith should go long(buy) on this stock.

Stock Index Future js a method of derivates. Futures, like forward contract is a forward commitment which obligates the buyer to purchase an asset or the seller to sell an asset and have a predetermined future date and price. Future is used to hedge against worse future situations.

7 0

4 years ago

The value of a cash budget is that it helps you predict and supply your future cash needs.

shtirl [24]

For the answer to the question that is being asked and shown above, it is "TRUE." <span>The value of a cash budget is that it helps you predict and supply your future cash needs. This statement is true as far as the value of a cash is concerned.</span>

4 0

3 years ago

12. Which one of the following words is a verb?

Mekhanik [1.2K]

Manufacture is a verb. However is an adverb, cruel is an adjective, and maintenance is a noun

4 0

3 years ago

Celine Co. will need €500,000 in 90 days to pay for German imports. Today's 90-day forward rate of the euro is $1.07. There is a

harkovskaia [24]

Answer:

$1,000

Explanation:

The computation of the expected value of the real cost of hedging payable is shown below:-

Real cost of hedging 1 = (€500,000 × $1.07 × (90 ÷ 360)) - (€500,000 × $1.02 × (90 ÷ 360))

= $133,750 - $127,500

= $6,250

Real cost of hedging 2 = (€500,000 × $1.07 × (90 ÷ 360)) - (€500,000 × $1.09 × (90 ÷ 360))

= $133,750 - $136,250

= -$2,500

Expected value of the real cost of hedging payable = (Real cost of hedging 1 × Spot rate Given Percentage) + (Real cost of hedging 2 × Given percentage)

= ($6,250 × 0.40) + (-$2,500 × 0.60)

= $2,500 - $1,500

= $1,000

7 0

3 years ago

Online Store is considering a project with an initial cost of $500,000. The project will not produce any cash flows for the firs

kirill [66]

Answer:

$9,118.48

Explanation:

The calculation of the project's net present value is shown below:-

Year Cash flows Discount rate 12.5% PV of cash inflows

(in $) (in $)

0 -500,000 1 -500,000 (A)

1 0 0.8888888889 0.00

2 0 0.7901234568 0.00

3 95,000 0.7023319616 66,721.54

4 150,000 0.624295077 93,644.26

5 150,000 0.5549289573 83,239.34

6 200,000 0.4932701843 98,654.04

7 225,000 0.438462386 98,654.04

8 175,000 0.3897443431 68,205.26

Present value 509,118.48 (B)

Net present value 9,118.48 (B - A)

Therefore to reach the net present value we simply deduct the present value from the initial cost.

5 0

3 years ago