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USPshnik [31]
3 years ago
10

Discuss the causes of changes in a currency swaps value over time. Is it possible to close out a currency swap before it reaches

maturity
Business
1 answer:
3241004551 [841]3 years ago
5 0

Answer: When a swap is agreed on by both parties involved, a cash flow of bonds in different currencies are agreed upon to be exchanged.

Explanation:

The cash flows of two bonds in separate currencies are negotiated upon to be traded when a swap is initiated. At the existing spot exchange rate, these bond-like cash flows have the same present value. Evidently, shifts in the exchange rate change the value of one side of the swap relative to the value of the other side of the swap. Furthermore, interest rate rises reduce the present value of currency.

The current value of cash flows is increased by flows and decreases in interest rates. Changes in interest rates and exchange rates thus offer meaning to currency swaps.

One side is triumphant and the other loses. By making the party that lost money in the swap pay this amount to the party that has gained value in the swap, it is possible to close a swap.

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Positioning relies upon the communication of one or more sources of value to customers in a way that the customer can easily mak
Vikki [24]

Answer:

The answer is C. The customer's needs and wants and what the product has to offer

Explanation:

Positioning is much of a psychological process as much as it is marketing. To position the product as a useful, valuable product in a memorable way in the mind of the customer, we have to join the customer needs with what the product has to offer.

8 0
4 years ago
Starset, Inc., has a target debt-equity ratio of 1.20. Its WACC is 8.7 percent, and the tax rate is 25 percent.
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4 0
3 years ago
Bailey stood in line for hours and purchased the new game system the day it became available for $600. Knowing that there was a
Evgen [1.6K]

Answer:

Bailey has a taxable short-term capital gain of the amount of $350, but no deductible loss for the car.

Explanation:

Based on the information given In a situation where Bailey purchased the new game system for the amount of $600 in which it was sold for the amount of $950. Which means that the taxable nature of these transactions is that she has a TAXABLE SHORT-TERM CAPITAL GAIN of the amount of $350, which is calculated as ($950-$600) while on the other hand their won't be any deductible loss amount for the car.

3 0
3 years ago
Should you think about supply and demand when considering your future career ?why or why not
Oxana [17]
It really depends. If there is more supply and demand then your businesses will most likely be better. And if there is low supply and demand the demand for the items is not so high causing less business.
hope this helps!
3 0
4 years ago
Cincinnati Manufacturing uses machine hours to budget production quality costs. When the company incurs 7,200 machine hours tota
lapo4ka [179]

Answer: $108.24 per machine hour

Explanation:

Given that,

If the company incurs 7,200 machine hours then,

Total variable production quality cost = $556,416

Total fixed production quality cost = $226,008

Variable production quality cost per machine hour:

= \frac{Total\ variable\ production\ quality\ cost}{Machine\ hours}

= \frac{556,416}{ 7,200}

= $77.28 per machine hour

If the company incurs 7,300 machine hours then,

Total production cost = variable production quality cost + fixed production quality cost

                                    = $77.28 per machine hour × 7,300 +  $226,008

                                    = $564,144 + $226,008

                                     = $790,152

Total production quality cost per unit = \frac{Total\ production\ cost}{Machine\ hours}  

                                                  = \frac{790,152}{ 7,300}  

                                                  = $108.24 per machine hour

5 0
3 years ago
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