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labwork [276]
3 years ago
13

Interest rate differences between countries depend on Group of answer choices neither differences in expected inflation, nor on

expected changes in the real exchange rate. differences in expected inflation, but not on expected changes in the real exchange rate. differences in expected inflation, and on expected changes in the real exchange rate. differences in expected changes in the real exchange rate, but not on expected inflation. differences in expected inflation and nothing else.
Business
1 answer:
Ira Lisetskai [31]3 years ago
6 0

Answer:

Differences in expected inflation, and on expected changes in the real exchange rate.

Explanation:

Interest rate is the rate charged by a lender on monies borrowed

For example if 100 is borrowed, and the lender expects the borrower to pay 10 every month. The interest rate = (10/100) = 10%

According to the taylor equation

(1 + Nominal interest rate) = ( 1 + real interest rate) + (1 + inflation rate)

the higher the real interest rate and inflation rate, the higher the nominal interest rate

Real interest rate is interest rate less inflation rate

Nominal interest rate includes inflation rate

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Read 2 more answers
At Davide Corporation, direct materials are added at the beginning of the process and conversions costs are uniformly applied. O
soldi70 [24.7K]

Answer and Explanation:

For materials

Equivalent completed units = Completed units + WIP ending

= 111,700 + 20,300

= 132,000 units

Cost of materials = Beginning WIP + Cost of materials added

= 22,300 + 370,000

= $392,300

Cost of material per units = 392,300 ÷ 132,000

= $2.97197

For conversions

Equivalent completed units = Completed units + WIP ending

= 111,700 + 20,300 × 30%

= 117,790 units

Cost of Conversion = Beginning WIP + Cost of conversion added

= 19,700 + 280,000

= $299,700

Cost of conversion per units = 299,700 ÷ 117,790

= $2.54436

Total cost of units completed and transferred out

= 111,700 × (2.97197 + 2.54436)

= $616,174

4 0
3 years ago
Bond co. is using the target cost approach on a new product. information gathered so far reveals: expected annual sales 400,000
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The next dividend payment by Hot Wings, Inc., will be $4.25 per share. The dividends are anticipated to maintain a 3 percent gro
NARA [144]

Answer:

10.20%

Explanation:

According to the Gordon constant growth model :

value = D1 / r - g

D1 = next dividend = $4.25

r = required return

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$59 = $4.25 / r - 0.03

4.25 / 59 = r - 0.03

0.072034 = r - 0.03

r = 0.102034

r = 10.20%

8 0
3 years ago
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