Consider the wealth effect, interest rate effect, and international trade effect. Of these, the wealth effect is the most significant and the international effect is the least significant.
<h3>What is the wealth effect?</h3>
This is the theory that states that people spend more money on commodities as they experience an increase in their wages.
<h3>What is the international effect?</h3>
This is the theory that the given differences that exist in nominal interest rate of countries is useful for prediction of changes in interest rate.
Read more on wealth effect here; brainly.com/question/26960365
Answer:
A photograph of Maria in her work clothes with smiling face
Explanation:
Maria is an individual or person, who works as designer in the design department of a company. Being a designer, her work involves creativity in her designs which attract the customers.
And she wants her online presence to signal or state that by profession she is a business professional in order to choose a profile picture for her online presence, she needs to choose a photograph, in which she is wearing her work clothes along with a smiling face.
Answer:<em> Option (E) is correct.</em>
From the given option, the following will reduce Bankston's need to issue new common stock: <em>Increase the percentage of debt in the target capital structure.</em>
With an increase in percentage of debt , there will be a proportional increase in cost of equity and thereby decreasing investment in equity. This will therefore reduce Bankston's need to issue new common stock
Answer:
A) international
Explanation:
Luxury Dwellings knows that their clients are wealthy individuals from their home country Veritas and specially from foreign countries. That is why they are not worried about local economic conditions and about varying costs. Since their brand if highly recognized overseas, they are more worried about satisfying their international clients.
This is very common in vacation destinations, including some in the US, like Miami. Many luxury real estate companies located in Miami carry out marketing campaigns in European, Asian and Latin countries more than in domestic markets.
Answer:
sell 1.714
Explanation:
The computation of the number of contract buy or sold to hedge the position is shown below:
As we know that
Number of contracts = Hedge Ratio
Hedge Ratio = Change in Portfolio Value ÷ Profit on one future contract
where,
Change in the value of the portfolio is
For that we need to do following calculations
Expected Drop in Index is
= (1200 - 1400) ÷ 1400
= -14.29%
And, Expected Loss on the portfolio is
= Beta × Expected index drop
= 0.60 × (-14.29%)
= -8.57%
So, the change is
= 1000000 × (-8.57%)
= -$85,700
And, the profit is
= 200 × 250 multiplier
= 50,000
So, the hedging position is
= -$85,700 ÷ 50,000
= -1.714
This reflects the selling position
