if erik is indifferent about these three investment options, and he thinks that they are worth the same to him. therefore, which of the following statements is true about erik? he is risk-neutral. he is risk-averse. he is risk-loving. none of these descriptions is accurate.
Answers
Erik is risk-neutral if he is indifferent about three investment options and thinks they are worth the same to him. so, the correct option is A).
If Erik is indifferent about three investment options and thinks they are worth the same to him, then he is a risk-neutral investor. A risk-neutral investor is someone who is neither risk-averse nor risk-loving and is willing to accept investments with the same expected return regardless of the level of risk involved.
Risk-neutral investors make decisions based solely on the expected value of an investment and are not swayed by the level of risk. They are often found in situations where they cannot accurately assess the level of risk involved in an investment or where they have no strong preferences for one investment over another.
So, the correct answer is A).
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Related Questions
When a company collects cash from accounts receivable, what will happen?
Answers
When a business receives payment from accounts receivable, its cash balance rises and the amount owed to creditors falls. Accounts receivable are sums of money that a business is owed by its clients for products or services that have been sold but have not yet been compensated.
What are accounts receivable?Accounts Receivable (AR) is the term used to describe the money that a business is owed by its clients for goods or services that have been sold but have not yet been compensated. Because it indicates a payment claim that is anticipated to be paid in the future, AR is viewed as an asset on a company's balance sheet.
When a business gives its clients credit, enabling them to buy products or services now and pay for them later, AR is formed. The credit term is the period between a sale and subsequent payment. In order to keep their cash flow positive, businesses often try to collect payment from their accounts receivable as soon as feasible. The financial stability of a corporation may be harmed by unpaid or past due accounts receivable.
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Lilly, Briah, Chloe, and Terry are the directors and equal shareholders of Fantastic Holidayz Pty Ltd, a company that runs an exclusive airline company and operates in several high-rise office buildings in Melbourne. Briah is the Managing Director and Terry is the Chief Financial Officer. Lilly and Chloe are non-executive directors. The Company has adopted a written constitution which contains the following clauses: (36) A directors' meeting may be called by a director giving reasonable notice individually to every other director (37) Quorum for directors' meetings is four directors and the quorum must be always present during the meeting (42) A resolution of the majority of directors may resolve to remove another director of the company. Business is booming, and Fantastic Holidayz has made a great deal of money over the last few years. However, the Board of Directors have rejected Lilly's proposal to declare a dividend for the last 7 years in a row - and she is getting fed up. The other directors always outvote her, arguing that it is better to keep the profits in reserve and continue to expand the business. Terry is currently investigating the possibility of opening further destinations to their itinerary In October 2017 Lilly was overseas for a family funeral and on her return to Melbourne, she discovers that the other directors have met and passed resolutions to remove her as a director of the company. Lilly did not receive any notice of the director's meeting. In another resolution, the remaining directors voted to pay themselves $500,000 in bonuses - equating to the entire year's profit. Lilly is angry that she has been removed and not paid a bonus and comes to you for your professional advice and opinion. Further, Fantastic Holidayz has a longstanding agreement with several travel agencies, and in January 2018, Fantastic's financial accounts showed that one agency owed the company $85,000, and there was no applicable security Recently, Lilly discovered that by June 2018 the debt owing to Fantastic Holidayz had blown out to $200,000. Terry had approved additional credit without the knowledge of the other directors. He did this, even though the agency had been taking a long time to pay its overdue account. Additionally, there are now rumours that are insolvent, but this cannot be proven. REQUIRED: 1. Discuss whether Lilly can bring any action to challenge the other directors' decision to deny dividends for several years and then pay themselves bonuses? (5 marks) 2. Advise Lilly about the process and potential outcomes if the travel agency is placed into voluntary administration - and any implications of this on Fantastic Holidayz. (5 marks) 3. Advise Lilly about whether Terry has breached any of his statutory duties as a director of Fantastic Holidayz. Include in your answer the consequences of a breach of duty, whether Lilly could bring an action for compensation on behalf of the company against Terry, and whether there are any defences available.
Answers
It is important for Lilly to consult with a legal professional to assess the specific circumstances and determine the most appropriate course of action. Legal advice tailored to the jurisdiction and applicable laws should be sought.
1. Lilly's Challenge to Dividend Denial and Bonus Payment:
Lilly may have grounds to challenge the other directors' decision to deny dividends for several years and then pay themselves bonuses. The key considerations are as follows:
a) Breach of Fiduciary Duty: Directors owe a fiduciary duty to act in the best interests of the company. By consistently rejecting dividends despite profitable operations, the directors may be breaching this duty if their decision is not justifiable and reasonable. The decision to pay themselves bonuses without Lilly's approval further strengthens her case.
b) Unfair Prejudice: Lilly may argue that the denial of dividends and payment of bonuses unfairly prejudice her interests as an equal shareholder and director. This argument can be supported by the fact that dividends have been consistently denied for several years, and the bonuses were paid without her knowledge or consent.
c) Oppression of Minority Shareholder: If the other directors' actions substantially interfere with Lilly's rights as a shareholder and director, it could constitute oppression of a minority shareholder. Denying dividends and paying bonuses in a manner that excludes Lilly's interests may be viewed as oppressive.
Lilly can potentially bring legal action seeking remedies such as an injunction to stop the bonuses, an order for dividends to be paid, or a buyout of her shares at a fair value.
2. Travel Agency in Voluntary Administration:
If the travel agency owing $200,000 to Fantastic Holidayz is placed into voluntary administration, the process and potential outcomes can be summarized as follows:
a) Voluntary Administration: Voluntary administration is a process where an external administrator (usually a registered liquidator) takes control of the insolvent company to maximize returns for creditors. The administrator assesses the company's financial position and explores options, such as restructuring or selling the business.
b) Outcomes and Implications: During voluntary administration, the administrator may propose a Deed of Company Arrangement (DOCA) to the creditors. If approved, it could allow the travel agency to continue operating and repay the debt over an agreed period. Alternatively, if the company's financial situation is deemed irreparable, the administrator may recommend liquidation.
For Fantastic Holidayz, the outcome depends on the recovery of the debt. If the travel agency is unable to repay the owed amount, Fantastic Holidayz may have to write off the debt as a loss, potentially impacting their financial position. The impact could be significant if the debt is material to the company's operations.
3. Terry's Breach of Director's Duties:
Terry, as the Chief Financial Officer and a director of Fantastic Holidayz, may have breached his statutory duties. The key considerations are as follows:
a) Duty of Care and Diligence: Directors must exercise reasonable care, skill, and diligence in fulfilling their roles. Terry's approval of additional credit without the knowledge of other directors could be seen as a failure to exercise due care and diligence. The consequences of a breach may include personal liability for any loss suffered by the company.
b) Duty to Act in Good Faith and for Proper Purpose: Directors must act in good faith and in the best interests of the company. By approving additional credit for a customer with an outstanding overdue account, despite potential insolvency concerns, Terry may have breached this duty.
c) Consequences and Action for Compensation: If Terry is found to have breached his statutory duties, consequences may include personal liability for any loss suffered by the company due to his actions. Lilly, as a shareholder, may have standing to bring a derivative action on behalf of the company to seek compensation from Terry for any losses incurred.
d) Defenses: Terry may raise defenses such as relying on professional advice, acting in good faith, or having the belief that his actions were in the company's best interests. However, these defenses may not absolve him entirely from liability if his actions are found to be unreasonable or against the company's interests.
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suppose a stock will have a return of -9% during a recession, and a return of 18% with normal market condition. if over the next year, the chance of recession is 32%, and the chance of normal condition is 68%. what is the stock's expected return for the next year (in percentage terms)?
Answers
The stock's expected return for the next year is 3.04%.
What is stock?A stock is a type of security that represents ownership in a corporation and entitles the holder to a share of the corporation's profits. Stocks are traded on exchanges, and investors can buy and sell stocks through brokerages. A stock is a type of security that represents ownership in a corporation and entitles the holder to certain privileges, such as voting rights and receipt of dividends. The stock market is where stocks are traded between investors. It is important to note that when you buy stock, you are not buying a piece of the company, but rather a piece of paper that represents ownership.
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Question 6 of 10
Which of the following skills do employers in any field expect their employees
to have?
A. Ability to use a cash register
B. Ability to lift at least 30 pounds
C. Ability to use word processing software
D. Ability to provide a healthy work environment
SUBMIT
Answers
Answer:
Ability to provide a healthy work environment
Explanation:
All the other answers comes with training and is dependant upon the role
Which of the following refers to the balance an account is always supposed to have?
Normal balance
Debits
Credits
Double-entry system
Answers
Answer:
Normal balance
Explanation:
Accounts are expected to have either debit or credit balance, depending on their classification. The accounting equation of Assets is equal to equity plus liabilities is the basis for account classification. Assets accounts are on one side, while accounts relating to equity and liabilities are on the other.
Accounts have normal balances if the balances at the end of a period are as expected. Assets accounts are expected to have debit balances, while equity and liabilities accounts should have credit balances.
What the Benefits of SMART TRAFFIC MANAGEMENT SYSTEM in iot
?
please in the beginning small paragraph
Answers
Smart Traffic Management Systems in IoT optimize traffic flow, enhance safety, and reduce congestion through real-time monitoring, incident detection, and data analysis.
Smart Traffic Management Systems leverage the power of IoT to revolutionize transportation management. Real-time monitoring of traffic conditions enables dynamic adjustments to traffic signal timings, ensuring optimized traffic flow and reducing congestion. By utilizing IoT sensors and cameras, these systems can detect incidents such as accidents, breakdowns, or congestion, allowing for immediate responses and appropriate interventions, such as redirecting traffic or dispatching emergency services. Furthermore, the collected data from various sources, including sensors and vehicles, can be analyzed to identify traffic patterns, bottlenecks, and peak hours.
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What are some positive and negative Impacts of globalization
Answers
Answer:
Globalization goal is 100% percent control of the people
Explanation:
Evidence of this is Charles Swab saying you will own nothing and be happy
Negative impacts are:
Outsourcing services, decrease in wages, workers' rights and interdependent economy.
A company's balance sheet has total assets of $400 000 and total equity of $350 000.
Answers
A corporation has $726 000 in assets and $213 000 in liabilities. Equity is $5,13,000 in total.
Equity: What Is It?When discussing assets of the company with future liabilities, such as debts, we use the term equity. Liabilities are subtracted from asset values to determine equity for accounting purposes. Equity is the amount that would remain in the hands of a company's shareholders after all of its assets have been sold and all of its debts have been paid. The amount of possession as remains in a business or item after all debts connected to that commodity have been settled is also known as equity.
Equity in Example: What is it?Liabilities can be deducted from assets to calculate equity.
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Consumer purchasing behavior has hardly been affected by technology.
true
false
Answers
Answer:
False
Explanation:
Technology and digital media have a significant impact on user purchasing behavior, which is performed through analyzing the user's interests and preferences and posting advertisement that match the user's preference.
Hackers access your
customer database,
which includes
addresses and credit
card numbers. These
customers are now at
risk of identity theft, and
they decide to sue you
for violation of their
privacy.
Answers
Answer:
yes it is true
this is your answer
What does the prefix re mean in the word reunited?
a.
both
c.
always
b.
again
d.
none of the above
Answers
Answer:
b. Again
Explanation:
Answer:
b.
again
Explanation:
Both reunion and reunite come from the Latin root unus, or "one," and the "again" prefix re-, so reunite means "make as one again."
Answer the qwustion and show your work and provide a detailed
explanation as to why that answer is correct (letter d is wrong).
Answers
The question asks for an explanation of the given question.
The given question requests an explanation, which means providing a detailed account or description of the question. In this context, an explanation would involve breaking down the components of the question, examining its structure, and offering insights into its purpose and relevance.
Explaining a question typically involves analyzing its underlying concepts, identifying any key terms or assumptions, and providing a clear and comprehensive response that addresses the question's intent. It often requires breaking down complex ideas into simpler terms, providing examples or evidence to support the answer, and ensuring the response is logical and coherent.
By explaining the given question, we can enhance understanding, clarify any uncertainties, and provide a thorough response that satisfies the inquiry. It allows for a deeper exploration of the topic at hand and provides the necessary context for a meaningful and informed discussion.
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Why is it a good idea to invest in both bonds and stocks?
Answers
Putting portions of your money into different types of investments could help you in case some of them don’t measure up.
Answer:
Diversifying your account by investing in both stocks and bonds provides protection because you can offset some, or all, of your losses in one investment with the gains in the other investment.
analyse the impact of an enterprise using break even analysis to make business decisions
Answers
Answer:
Using break-even analysis in your feed and grain business can help you understand and examine the profit drivers of your business. It is a very useful tool that can help you understand how much you need to sell to cover your costs and how pricing, cost, and volume changes impact these needed sales.
PLZ HELP: FIND THE PROFIT
Fixed costs are £26,000 per year, and variable costs include wages at £10 per
unit, raw materials at £12 per unit and delivery/packaging at £3 per unit. It is expected that a business will make and sell 750 units during the year, with
a selling price of £26.
Answers
Answer:
Net loss -£25,250
Explanation:
The computation of the profit is shown below:
Sales (750 units × £26) £19,500
Less: Variable cost (750 units × £25) £18,750
Contribution margin £750
Less: Fixed cost £26,000
Net loss -£25,250
The £25 could be calculated below:
= £10 + £12 + £3
= £25
Basically applied the above format
north company budgets overhead costs for the next year of $3,600,000 for indirect labor and $880,000 for factory utilities. the company uses machine hours as its overhead allocation base. if 125,000 machine hours are planned for this next year, what is the company's plantwide overhead rate?
Answers
If 125,000 machine hours are planned for this next year, company's plantwide overhead rate is $35.84.
The overhead rate is the proportion of a company's indirect expenditures, such as rent and other administrative expenses, to its direct costs, sales, or other inputs, like machine hours. It gives business owners and managers an idea of indirect costs in comparison to, say, its direct manufacturing or gross sales costs.
Overhead rate = cost of manufacturing head / cost of driver
The whole overhead expense must be distributed according to the cost driver. Specifically, machine hours
4,480,000 total overhead is made up of 3,600,000 indirect workers and 880,000 factory utilities.
Driver of costs: 125,000 machine hours
4,480,000/135,00 = $35.84 for the plant's overall overhead rate.
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Describe the population distribution in Guyana
Answers
More than 70 percent of Guyana's coastal population is rural, living on plantations or in villages strung along the coastal road. The villages range in size from several hundred to several thousand inhabitants. The layout of the villages is dictated by the drainage and irrigation systems of the plantations, both active and abandoned. The villages are most heavily concentrated along the estuary of the Demerara River and the eastern environs of Georgetown, near the mouth of the Berbice River close to New Amsterdam, and along the extreme east coast near the Courantyne River.
The pattern of population distribution in Guyana is a product of nineteenth-century economic development, which was based on the cultivation of sugarcane. Because the swampy coast was fertile and sugar production was geared to export, the large sugar estates confined their operations to a narrow coastal strip. Most of the villages had ethnically diverse populations, but usually one ethnic group predominated. The urban population was predominantly African, but it would be misleading to suggest that all Afro-Guyanese were urban. Indeed, the majority of the Afro-Guyanese population was rural. A far greater majority of Indo-Guyanese, however, lived outside the cities. The interior of the country was left mainly to the Amerindians. Even the later exploitation of timber, bauxite, and manganese in the interior failed to effect any sizeable migration.
Max is using a search engine to do research on trends in his industry when he comes across a website that isn’t necessarily related to his research–but is interesting and engaging. Without realizing it, Max spends over an hour browsing through the webpage’s numerous articles and links. When his boss asks him if his research report will be ready by the end of the day, Max isn’t sure how to respond. He’s hardly done any work–but it’s not like he was purposely avoiding work. He was using the search engine for the purpose of research, after all. It’s not his fault that the search results weren’t very relevant. Max is considering asking his boss for an extension on his deadline so that he can spend more time researching. What do you think? What should Max do?
Answers
In this situation, Max has to first give his boss some advance notice that he wont be able to complete the report before deadline, explain himself briefly as to why that is, then ask for more time to be able to complete the task.
What is a deadline?A deadline indicates that a task or project is anticipated to be finished by that date and time. There is a clear expectation of what must be provided and by when thanks to deadlines. Employees are able to take charge of their work in this way and include deadlines into their time management techniques.
It's critical to schedule deadlines in advance because your work may be delayed. Recognize that some resources might be delayed and that some people might not be available. You may prevent the disaster of missing a deadline by making plans in advance.
Deadlines are crucial in business for a variety of reasons. They establish standards and encourage productive behavior in the workplace.
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A practical approach that is frequently used by managers when setting a normal selling price is the ______
Answers
This combined process is called the market-related cost approach and is primarily used when valuing residential property The Valuation Process.
What is Valuation Process?Analysts use valuation to determine the current or expected value of a stock, company, or asset. The goal of valuation is to appraise a security and compare its calculated worth to the current market price in order to identify promising investment possibilities.
The appraisal procedure starts when an appraiser finds the appraisal problem and finishes when they present their findings to you. Estimating market value is the most common appraisal assignment.
A valuation is used to assess the efficacy of your strategic decision-making process and to provide the opportunity to track performance in terms of expected change in value rather than just revenue.
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The change in the milk's price is how many times as large as the original price? (Recall that the old price was $2.79 and the new price is $3.54.) * times as large Preview 0.78 Submit Question 3. Points possible: 1 Unlimited attempts. Score on last attempt: 0. Score in gradebook: 0 Message instructor about this question Post this question to forum 100 When we report this value as a percentage, recall that we change the unit ruler to be times as large. Score on last attempt: Score in gradebook: 0 out of 2 0 out of 2 75 Recall that the old price was $2.79 and the new price is $3.54. a. The change in the milk's price is what percent of the old price? 0.78 0.78. % Preview b. Therefore, we say that the milk's price changed by License times as large, which makes the measurement value 100 *%. Preview
Answers
The change in the milk's price is approximately 0.268 times as large as the original price, or 26.8% of the original price.
The change in the milk's price can be calculated by subtracting the original price from the new price. In this case, the change is $3.54 - $2.79 = $0.75. To determine how many times as large the change is compared to the original price, we divide the change by the original price: $0.75 / $2.79 ≈ 0.268.
To express this value as a percentage, we multiply it by 100: 0.268 * 100 = 26.8%. Therefore, the change in the milk's price is 26.8% of the original price.
As for the statement "The change in the milk's price is how many times as large as the original price?", the answer is not directly provided in the given information. However, we can say that the change is approximately 0.268 times as large as the original price based on the calculations above.
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Suppose General Electric payed its line workers $12 per hour
Answers
The relevant answers with regard to real wages are as follows:
A) $10.08
B) 10.89
C) 19.05. See explanation below.
What is the computation justifying the above results?[A]
Recall that Real Wages are computed as follows;
Real Wages = (Nominal Wage/CPI in the Given Year) x CPI in the base year
12 = (N/84) x 100
= 10.08
[B]
The formula for real wage still stands:
Hence,
12 x 1.08 = (N/84) x 100
= 10.89
One thing to keep in mind is that the percentage rise in real wages is always equal to the percentage increase in nominal wages. The same may be demonstrated with other values.
[C]
It is to be noted that the real wage is pegged at $12 which is same from the prior year.
Hence, percentage increase = 0
But because $12 is Nominal in the incumbent year,
[(12 - 10.08)/10.08] x 100
= 92/10.08
= 19.05
What is real wages?Real wages are earnings adjusted for inflation, or pay expressed in terms of the quantity of goods and services that may be purchased. In contrast to nominal wages or unadjusted wages, this word is used.
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Full Question:
Suppose General Electric paid its line workers $12 per hour in 2015 when the Consumer Price Index was 100. Suppose that deflation occurred and the aggregate price level fell to 84 in 2016. Instructions: Round your answers to two decimal places. a. GE needed to pay its workers $ in 2016 in order to keep the real wage fixed at $12. b. GE needed to pay its workers $ in 2016 if it wanted to increase the real wage by 8 percent. c. If GE kept the wage fixed at $12 per hour in 2016, in real terms, its workers got a % increase in wages.
The marketing budget will depend on a number of factors such as the size of the business, time the venture has been operating, type of business, and resources available.
T/F?
Answers
The given statement "The marketing budget will depend on a number of factors such as the size of the business, time the venture has been operating, type of business, and resources available.
" is True.
Explanation:
The budget that needs to be spent on marketing would depend on numerous factors,
including the size of the business,
the amount of time the business has been running, the kind of business,
and the resources available for the business.
Marketing spending varies widely by company and industry,
and there is no single rule that applies to all enterprises.
Every company's marketing budget will be influenced by a combination of the factors listed above.
For example, a business that has only been operating for a short time may have a smaller marketing budget than a business that has been operating for several years.
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The following picture is best described as
a(n)...
A. Organism
B. Community
C. Population
D. Ecosystem
Answers
Answer:
organism
Explanation:
a gree fish is an organism
Electronic résumés have an attractive, highly formatted appearance. T F
Answers
Answer:
False.
Explanation:
False.
Answer:false
Explanation: got it right
the management function that takes us from some current state to a desired future state is question 5 options: controlling. directing. organizing. planning. staffing.
Answers
The management function that takes us from some current state to a desired future state is planning.
What is management function?
Management function is a process of managing the resources, processes, and systems of an organization. It involves planning and setting goals, organizing resources, leading and motivating personnel, and controlling and evaluating results. It also involves analyzing the external environment to identify opportunities and threats, and taking actions to capitalize on opportunities and to minimize or eliminate threats. Management functions are the activities and processes used to ensure that organizational objectives are achieved. These activities include planning, organizing, leading, and controlling. Effective management functions are essential for any organization to achieve success.
Planning is the management function that helps to take us from some current state to a desired future state. It involves setting goals and objectives, developing strategies, and establishing tactics to achieve the desired outcomes.
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Which is an example of a small business showing social responsibility to individuals within the company?
A. starting an office recycling program
B. developing sustainable business practice
C. donating money to local organizations
D. allowing employees to work from home
Answers
Starting an office recycling program, developing sustainable business practice and donating money to local organizations are examples of a small business showing social responsibility to individuals within the company.
Company have a social responsibility to the communities in which they operate. This includes ensuring that they are good corporate citizens, providing support for local causes and charities, and protecting the environment.
Sustainable business is a term that is often used to describe businesses that are environmentally friendly or that have a positive social impact.
Hence, the correct options are "A, B & C".
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A sum of $46875 was lent out at simple interest and at the end of 1 year 8 months, the total amount was $50000. Find the rate of interest per year
Answers
Answer:
4%
Explanation:
Simple interest is calculated using the formula
I = p x r x t
in this case, the interest I is the total amount-principal amount
I = $50,000- $46,875
=$3,125
$3,125 = 46,875 x r x 1 year 8 months
$3,125 =46,875 x r/100 x 1.67
3125=78,281.25 x r/100
$3125 x 100 = 78,281.25 x r
$312500= 78,281.25
r=312500/78,281.25
r=3.992
r=4%
Mama C's Pizza instructs its telephone pizza order takers to pick up the telephone on the first ring and not to put customers on hold. When answering the telephone, an order taker must be energetic, friendly and let the customer hear the smile on his or her face. Mama C's guidelines for order takers' telephone answering behavior will influence which of the following service quality dimensions for Mama C's?
A) Reliability
B) Responsiveness
C) Assurance
D) Empathy
E) Tangibles
Answers
Answer:
B
Explanation:
it's responsiveness bc you're responding in a positive way and it looks better in the customer service world
100% on edge
why will the wages for apple pickers increase?
Answers
Answer:An increase in the demand for apples increases the demand for the labor force also increasing the prices for the apples. This results in an increase in wage for apple pickers due to work increment.
Explanation:pls braliant my answer
calculate the euro based return an italian investor would have realized by investing 10000 euro into a $50 american stock on margin with only 40 percent
Answers
The euro-based return an Italian investor would have realized by investing 10000 euro into a $50 American stock on margin with only 40 percent is 2400 euros.
To calculate the euro-based return an Italian investor would have realized by investing 10000 euro into a $50 American stock on margin with only 40 percent, we need to follow these steps:
Calculate the initial investment in dollars:
The investor is investing 10000 euros, which we can convert to dollars using the current exchange rate. Assuming an exchange rate of 1 euro = 1.2 dollars, the initial investment in dollars would be 10000 * 1.2 = $12000.
Calculate the amount of margin used:
The investor is investing on margin with only 40 percent, so the amount of margin used would be 60 percent of the initial investment in dollars, which is 0.6 * $12000 = $7200.
Calculate the number of shares bought:
The investor is buying a $50 stock, so the number of shares bought would be $7200 / $50 = 144 shares.
Calculate the return in dollars:
Assuming the stock price increased by 20 percent to $60, the value of the investor's shares would be 144 * $60 = $8640. Since the investor borrowed $4800 on margin, the return in dollars would be ($8640 - $7200) / $7200 = 20 percent.
Calculate the return in euros:
To convert the return in dollars to euros, we need to use the current exchange rate. Assuming the exchange rate is still 1 euro = 1.2 dollars, the return in euros would be 12000 * 0.2 = 2400 euros.
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