All categories

3 years ago

You are planning a graduation trip to Mexico. Other things the same, if the dollar appreciates relative to the peso, then

Business

1 answer:

galben [10]3 years ago

7 0

Hello there!

Answer:

Your answer is C). the dollar buys more pesos. Your hotel room in Mexico will require fewer dollars

Explanation:

The reason why answer choice "C" would be the correct answer is because American currency, USD, would get you a lot of pesos.

Lets give you the exact amount of exchange rate:

1 USD (U.S DOLLAR) = 18.98 PESO

You can see how much 1 U.S dollar could get you in the Mexican currency.

What this means is that the U.S dollar buys more pesos, in which is correct in answer choice "C" Since you could buy more pesos with the U.S dollar, you would only need to use fewer dollars because the exchange rate is so high. The U.S dollar would get you more money in Mexico. This is the reason why answer choice "C" would be correct.

You might be interested in

A contract with a mistake that results from failure to understand the contract’s meaning or significance or from failure to read

Olegator [25]

A.............................

4 0

3 years ago

The aggregate demand curve shows the relationship between inflation the price level the money supply interest rates and producti

victus00 [196]

Answer:

The correct answer is option a.

Explanation:

The aggregate demand curve shows the demand for goods and services by the economy as a whole. It comprises of consumption expenditure, government expenditure, investment expenditure, and net exports.

The aggregate demand curve in the short run is downward sloping because an increase in the price level reduces the real money holdings. It reduces purchasing power. So the amount of expenditures gets reduced as well.

3 0

3 years ago

Martha was promised a 10% raise if she wins a contract with the city government. Martha could use the money to pay off some debt

Vlad1618 [11]

Answer:

The answer is expectancy.

Explanation:

Expectancy theory is a concept developed by Victor H. Vroom in 1964, where he postulated, that the strength an individual has in terms of his or her motivation to do an action, would appear when three components are satisfied to a certain value: expectancy, instrumentality, and valence. The question above is relevant to the expectancy component, which is detailed as the belief that an individual has regarding their efforts would result in the individual choosing to perform an action. In the case of Martha, she wasn’t sure that her efforts in trying to win the contract would lead to her 10% raise (outcome, a component of instrumentality), and thus, she decided not to try.

3 0

3 years ago

A firm in a competitive industry has a total cost function of TC = 0.2 Q2 – 5Q + 30, whosecorresponding marginal cost curve is M

Mama L [17]

Answer:

Consider the following calculations

Explanation:

TC=0.2Q2 - 5Q + 30,

MC=0.4Q - 5.

Equilibrium condition

MC=P

0.4Q - 5 = 6

0.4Q = 11

Q = 11/.4

=27.5

Profit = TR - TC

=27.5*6 - .2(27.5)2 -5(27.5)+30

=165 -756.25 -137.5 +30

= - 698.5

Firm is incurring loss

Firm will continue to produce as long as it is able to recover AVC

AVC =0.2Q -5

=0.2(27.5) -5

=5.5 -5

=0.5

Hence firm will continue to produce

7 0

4 years ago

Santiago Systems Income Statement For the Year Ended December 31, 20X2 Amount Percent Net sales $5,345,000 100.0% Less: Cost of

solmaris [256]

Answer:

1)Dividend per share = 1

2)Dividend yield = 5%

3)Dividend payout ratio = 0.39

Explanation:

As per the data given in the question,

Net sale = $5,345,000

Cost of goods sold = $3,474,250

Gross margin = $5,345,000 - $3,474,250 = $1,870,750

Operating expenses = $1,140,300

Operating income = $1,870,750 - $1,140,300 = $730,450

Interest expenses = $27,000

Income before taxes = $730,450 - $27,000 = $703,450

Income tax(40%) = $281,380

Net in come = $422,070

Preference of dividend = $40,000

Earnings available to common stockholders = $422,070 - $40,000 =$382,070

Common stock = $150,000

Earning per share = $382,070÷$150,000 = 2.55

Dividend to common stockholders = $150,000

Dividend per share = $150,000÷$150,000 = 1

Market price of common share = $20

Dividend yield = (Dividend per share×100÷market price of common share) = 5%

Dividend payout ratio = Dividend per share÷earning per share =1÷2.55 = 0.39

3 0

3 years ago