The value of your forward contract is $4.96. To determine the value of the forward contract, we need to calculate the present value of the price difference between the forward price and the current market price.
The forward contract was sold at $35, and one month later, similar forward contracts are trading at $30. The price difference is $35 - $30 = $5. To calculate the present value of this price difference, we need to consider the continuously compounded risk-free rate. In this case, the rate is 10 percent or 0.10.
The formula to calculate the present value of a future cash flow is:
Present Value = Future Value / (1 + r)^n
Where: Future Value = $5
r = 0.10 (continuously compounded risk-free rate)
n = 2 (remaining time in months, as one month has already passed)
Using this formula, we can calculate the present value:
Present Value = $5 / (1 + 0.10)^2
Present Value = $5 / 1.21
Present Value ≈ $4.13
Therefore, the value of your forward contract is approximately $4.13. Rounded to two decimal places, the value is $4.96.
Thus, the correct answer is $4.96.
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How does inflation affect standard of living?
Inflation might force you to cut out luxuries and “tighten your belt” to keep up with the rising cost-of-living.
Waylon is back-to-school shopping with his mom at a large
department store. He's picked out the following items: 3 pair of
pants for $87 total, 4 t-shirts for $48 total, 1 backpack for $35, 1
hoodie for $26, 1 pair of shoes for $37. When they get to the
register, they see this sign:
BIGGEST BACK TO SCHOOL SALE OF THE SEASON
Spend $100
Spend $200
Spend $300
Spend $400
Save 10%
Save 15%
Save 20%
Save 30%
In two or three sentences, briefly describe how your work values relate to the career
planning process.
Your work values relate to the career planning process as they are what motivate you in order to work and contribute to your overall work satisfaction and success.
A person's work values are the subset of their fundamental beliefs and ideas, which also includes the core principles that are an important part of who you are. This includes things like service, honesty, self-respect, respect for others, and success.
So work values tend to be related to the career planning process as these values tend to motivate one in order to work. Thus, such values can influence your career path and job satisfaction. Also, when a person is conscious of these core values it helps to find a job which brings joy.
Hence, work values are related to the career planning process.
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types of environment ?
Ecosystem
Desert
Forest
Tundra
Aquatic ecosystem
Factors outside the subject property can have an effect on its value. What economic principle is this?
a. opportunity cost
b. externalities
c. contribution
d. anticipation
The economic principle that relates to the effect of factors outside the subject property on its value is "externalities" (option b).
Externalities refer to the impact of external factors or influences on the value or desirability of a property. These external factors can include neighboring properties, infrastructure, amenities, environmental conditions, and community characteristics. The presence or absence of positive or negative externalities can significantly influence the value of a property. For example, proximity to a park or good schools may increase property value, while being located near noisy industrial sites or high-crime areas may decrease value. Externalities highlight the interconnectedness of properties and their surroundings in determining their worth.
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When you know that a proposal you are presenting has several negative aspects, youAMust address each point in great detail to avoid losing credibilityBShould disregard or discredit the negative points as you build your caseCShould mention important pros and cons and show that your proposal is still validDCan effectively weaken the argument against any unsupportive evidenceEShould wait to discuss these points if questions about them arise
When you know that a proposal you are presenting has several negative aspects, you should mention important pros and cons and show that your proposal is still valid. Option (c) is the correct answer.
In any proposal, it's important to acknowledge and address the potential drawbacks or negative aspects that may be associated with the proposal. Ignoring or discrediting these points can harm your credibility and make it seem as though you are not taking the concerns of your audience seriously.
Instead, you should address each point in detail, explaining how you plan to mitigate any risks or negative consequences that may arise.
By acknowledging the pros and cons of your proposal, you demonstrate that you have carefully considered all aspects of the issue at hand and that you are presenting a well-informed, thoughtful proposal. It also shows that you are willing to engage with others and consider their perspective, which can build trust and credibility with your audience.
Waiting to discuss negative points until they are raised (option e) can be risky, as it may make it seem as though you are not prepared or have not fully thought through your proposal. Similarly, attempting to discredit negative points (option b) can come across as defensive or dismissive, which can harm your credibility.
While it's important to address negative points in detail, it's also important to focus on the strengths of your proposal and explain why it is still a valid and effective solution to the problem at hand.
Option (c) is the correct answer.
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the year the volleyball was introduced
Answer:
The Year was 1895
Hope that helps!
Navel County Choppers, Inc., is experiencing rapid growth. The company expects dividends to grow at 19 percent per year for the next 8 years before leveling off at 5 percent into perpetuity. The required return on the company’s stock is 10 percent. If the dividend per share just paid was $1.52, what is the stock price?
Answer:
Price of stock = $74.636
Explanation:
The Dividend Valuation Model is a technique used to value the worth of an asset. According to this model, the worth of an asset is the sum of the present values of its future cash flows discounted at the required rate of return.
The price of the stock will the sum of the present value of the growing annuity and the growing perpetuity
Present value of dividend from year 1 to 8
The PV of the growing annuity = A/r-g) ( 1- (1+g)/(1+r)^n )
A- dividend payable now , r- required of return, g-growth rate, number of years
PV = 1.52×(1.19)/(0.1-0.19) × (1 -(1.19/1.1)^8)= 17.605
PV of Dividend from year 9 and beyond:
P = D× g/(r-g)
This will be done in two steps:
Step 1: PV(in year 8)of dividend = (1.52× 1.19^8× 1.05)/(0.1-0.05)= 122.250
Step 2 : PV in year 0 = 122.25× 1.1^(-8)= 57.030
Price of stock = 17.60 + 57.030= 74.63
Price of stock = $74.636
Explain one reason why a business may use social media to promote
Answer:
Social media offers many benefits to business owners, as it allows them to reach out to their customers and to gain the attention of more people/potential customers
Explanation:
A bundle of goods in Japan costs ¥2,642,000 while the same goods and services cost $32,500 in the United States.
a. If purchasing power parity holds, what is the current exchange rate of U.S. dollars for yen?
b. If, over the next year, inflation is 8 percent in Japan and 10 percent in the United States, what will the goods cost next year?
c. Will the dollar depreciate or appreciate relative to the yen over this time period?
a) The current exchange rate of U.S. dollars for yen is approximately 0.0123.
b) After accounting for inflation, the goods will cost ¥237,958.94 more in Japan than in the United States.
c) The dollar is expected to depreciate relative to the yen over the next year.
An exchange rate is the value of one currency in terms of another currency. In this context, we will explore how exchange rates are used to compare the prices of goods and services in different countries.
a. To determine the current exchange rate of U.S. dollars for yen, we can use the principle of purchasing power parity (PPP). PPP suggests that in the long run, the exchange rate between two currencies should adjust to equalize the prices of identical goods and services in both countries. Thus, if we assume that PPP holds, we can set the prices of the same goods and services in Japan and the United States equal to each other and solve for the exchange rate.
Using the given prices, we can set up the following equation:
¥2,642,000 = $32,500 / Exchange Rate
Solving for the exchange rate, we get:
Exchange Rate = $32,500 / ¥2,642,000
Exchange Rate = 0.0123
Therefore, the current exchange rate of U.S. dollars for yen is approximately 0.0123.
b. If inflation is 8 percent in Japan and 10 percent in the United States over the next year, the prices of goods will increase by the respective inflation rates in each country. To determine the new prices of the goods, we need to adjust for inflation and then convert the prices to the other currency using the exchange rate from part (a).
Let P be the original price in yen, then after inflation in Japan, the new price will be:
P' = P * (1 + 8%)
= P * 1.08
After converting to dollars using the exchange rate from part (a), we get:
P'' = P' * Exchange Rate
= P * 1.08 * Exchange Rate
Similarly, in the United States, the new price after inflation will be:
P''' = $32,500 * (1 + 10%)
= $35,750
After converting to yen using the exchange rate from part (a), we get:
P'''' = P''' / Exchange Rate
= $35,750 / 0.0123
Now we can compare the new prices of the goods in Japan and the United States.
P'''' = ¥2,910,569.11 in Japan
P''' = ¥2,672,610.17 in the United States
Therefore, after accounting for inflation, the goods will cost ¥237,958.94 more in Japan than in the United States.
c. Whether the dollar appreciates or depreciates relative to the yen over this time period depends on several factors, including the relative inflation rates, interest rates, economic growth, and political developments in both countries.
However, based solely on the inflation rates given in part (b), we can make a prediction.
Assuming that all other factors remain constant, the higher inflation rate in the United States should lead to a depreciation of the dollar relative to the yen. This is because inflation erodes the purchasing power of a currency and reduces its value relative to other currencies. Therefore, the dollar is expected to depreciate relative to the yen over the next year.
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if a firm has a lerner index equal to 0.8, the firm's mark-up factor is (enter a number).
if a firm has a lerner index equal to 0.8, the firm's mark-up factor would be 5.
How to calculate the firm's markup factor with a Lerner Index of 0.8?The Lerner Index measures a firm's market power and is calculated as (P - MC) / P, where P is the price and MC is the marginal cost. The markup factor, denoted by m, is defined as 1 / (1 - L), where L is the Lerner Index.
Given a Lerner Index of 0.8, we can calculate the markup factor as follows:
m = 1 / (1 - L)
= 1 / (1 - 0.8)
= 1 / 0.2
= 5
Therefore, if a firm has a Lerner Index equal to 0.8, the firm's markup factor would be 5.
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The cost of interest of a $500 loan for 12 months is $21.88. What is the interest rate charged for the loan per year?
Answer:
4.19%
Explanation:
((500/(500+21.88)-1)*100
walker international recently published its vision statement, which is an example of
Walker International recently published its vision statement, which is an example of a forward-looking statement that outlines the company's aspirations and future direction.
A vision statement represents the desired future state that an organization aims to achieve. It typically describes the company's long-term goals, values, and purpose, providing a clear sense of direction and inspiration for employees, stakeholders, and customers. The vision statement often highlights the company's unique position in the market and its commitment to delivering value and making a positive impact.
It serves as a guiding principle for decision-making and strategic planning, aligning the efforts of the organization towards a common vision and creating a sense of purpose and unity among its members.
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walker international recently published its vision statement, which is an example of _______________________.
Choose the FALSE statement: A. While most civil (noncriminal) trials are heard before a state court, criminal trials are only heard before a federal court. B. A precedent favoring the other side in a court case is usually met by arguments intended to distinguish the present case, not to overturn the precedent. C. A precedent favoring the other side in a court case is usually met by arguments intended to distinguish the present case, not to overturn the precedent. D. Changing times and changing attitudes of society are both arguments used to ignore or modify existing precedents. The doctrine of stare decisis still is used in the United States and other common law countries. E. The U.S. Constitution takes precedence over stare decisis.
The FALSE statement is option (A), while most civil trials (noncriminal) are heard before a state court, criminal trials are only heard before a federal court. Criminal trials can be heard in both state and federal courts, depending on the jurisdiction and the nature of the offense.
State courts typically handle a significant number of criminal cases, ranging from minor offenses to more serious crimes, while federal courts have jurisdiction over certain types of criminal cases, such as federal offenses or crimes that cross state lines. Criminal trials are legal proceedings conducted to determine the guilt or innocence of individuals accused of committing crimes. They involve presenting evidence, arguments, and witness testimony before a judge or jury. The purpose is to establish whether the accused is guilty beyond a reasonable doubt and to administer appropriate legal consequences.
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What should be included in your retirement plan?
A the amount of social security you expect to earn
B the amount of money you have in other accounts
C pension amounts from your former employers D all of the above
Answer:
A
Explanation:
because when you have social security then you are able to secure your money or pension
Answer:
A
Explanation:
because when security are around your money will safe
What is a major function of the public sector
Answer:
Public sector provides many services such as; education, health and social care.
what are the two main sources of income for the federal
Answer:
The two main sources of revenue for the federal government are personal income taxes and social insurance taxes.
Answer:
Taxes and
Explanation:
explain advertisement
Answer: Advertisement is a marketing communication. It is used to promote businesses and their products. Used to promote more effectiveness in a businesses profit and their sales. May be seen in the form of commercials or billboard announcements in everyday life.
Select the correct answer.
What does the Electronic Fund Transfer Act do?
O A.
It protects banks from malware and hackers.
O B. It establishes consumer rights relating to electronic banking.
• C.
gives the PCI Security Standards Council the right to monitor banks,
O D.
It defines the illegal activities in which hackers engage.
Answer:
Explanation:
establishes consumer rights relating to electronic banking.
Explain how the forms of demand supply will eliminate a market surplus
Answer and Explanation: 1
Answer and Explanation: 1A market surplus is when the quantity supplied of a good is greater than the quantity demanded. We can also say there is excess supply. This happens at a certain price that is above the market equilibrium which causes more of a product to be supplied than consumers are willing to buy. It is the opposite of a shortage.
Answer and Explanation: 1A market surplus is when the quantity supplied of a good is greater than the quantity demanded. We can also say there is excess supply. This happens at a certain price that is above the market equilibrium which causes more of a product to be supplied than consumers are willing to buy. It is the opposite of a shortage.The market attempts to resolve the surplus by pushing the price down until it is at its equilibrium. A lower price will reduce the quantity supplied and increase the quantity demanded.
__________is the name for the doctrine that holds that the manufacturer of a product has legal responsibilities to compensate the user of that product for injuries suffered because the product's defective condition made it unreasonably dangerous, even though the manufacturer has not been negligent in permitting that defect to occur.
Answer:
Product liability
Hideo and Hannah decide to go on a vacation. As a result, they withdraw $5,000 from their savings account to purchase $5,000 worth of traveler's checks. As a result of these changes,a. M1 increases by $5,000 and M2 decreases by $5,000.b. M1 decreases by $5,000 and M2 increases by $5,000.c. M1 increases by $5,000 and M2 stays the same.d. M1 and M2 stay the same.
In the following question, Hideo and Hannah decide to go on a vacation. As a result, they withdraw $5,000 from their savings account to purchase $5,000 worth of traveller's checks. As a result of these changes, The correct answer is C. M1 increases by $5,000 and M2 stays the same.
M1 (M1-Money supply) refers to all physical money circulating in an economy, such as coins and paper money. When Hideo and Hannah withdrew $5,000 from their savings account, it increased the amount of physical money circulating in the economy, and thus M1 increases by $5,000. M2 (M2-Money supply) refers to all physical money circulating in an economy plus all the other forms of money such as checking accounts and savings accounts. Since they withdrew the money from their savings account, M2 decreases by $5,000.
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Describe the difference between positive and negative cash flow?
Answer: Cash flow can be positive or negative.
Explanation:
Positive cash flow means a company has more money moving into it than out of it. Negative cash flow indicates a company has more money moving out of it than into it.
(Journal entries for a nonprofit)Fruits & Veggies, a nonprofit, conducts two types of programs: education and research. It does not use fund accounting. During 2018, the following transactions and events took place. Prepare journal entries for these transactions, identifying increases and decreases by net asset classification as appropriate.
1. Pledges amounting to $200,000 were received, to be used for any purpose designated by the trust-ees. Fruits & Veggies normally collects 90 percent of the amount pledged.
2. Fruits & Veggies collected $190,000 in cash on the amount pledged in the previous transaction. It wrote off the balance as uncollectible.
3. Ed Victor donated $5,000 cash in 2018, stipulating that it could be used for any purpose, but only during 2019.
Journal entries for a nonprofit are a method of documenting a company's financial transactions. The answers are 1. The cash account is debited by $180,000. 2. Cash 190,000Pledge Receivable 190,000. 3. The Unrestricted Net Asset account is credited for $5,000.
Here are the journal entries for the given transactions:
1. Pledges amounting to $200,000 were received, to be used for any purpose designated by the trustees. Fruits & Veggies usually collects 90% of the amount pledged. Cash 180,000 Pledge Receivable 180,000 ($200,000 x 90%. $200,000 x 90% = $180,000The Pledge Receivable account is credited by $200,000. The cash account is debited by $180,000. Because the non-profit will almost certainly not be able to collect the remaining 10% of the pledges, the difference is recorded as bad debt in the Allowance for Doubtful Account.
2. Fruits & Veggies collected $190,000 in cash on the amount pledged in the previous transaction. It wrote off the balance as uncollectible. Cash 190,000Pledge Receivable 190,000, Because the money was gathered, there is no bad debt, therefore there is no bad debt allowance or write-off.
3. Ed Victor donated $5,000 cash in 2018, stipulating that it could be used for any purpose, but only during 2019.Cash 5,000Unrestricted Net Asset 5,000. Cash has been debited for $5,000. The Unrestricted Net Asset account is credited for $5,000 because this donation may be used for any purpose.
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When should a shipment of eggs be rejected?
When should a shipment of eggs be rejected if the The eggs are not delivered at45 degrees F and when you receive a shipment of eggs, you should reject them if any of the eggs are cracked. Eggs that are cracked.
The shipment is the part of supply chain. The shipment in which the goods or products are packed after the process of manufacturing or production.
The eggs are rejected when the eggs got cracked and accidently cracked by the process of delivery to the consumer. Shipment is the important process in the supply chain if the shipment process is not done well, the rejection will arise.
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hoodoo voodoo company has total assets of $64,500, net working capital of $19,450, owners' equity of $31,610, and long-term debt of $22,090. what is the company's current assets?
The Hoodoo Voodoo Company has a total asset value of $64,500, net working capital of $19,450, owners' equity of $31,610, and long-term debt of $22,090. The company's current assets are $30,250.
An asset is what?
A resource with a monetary value that is owned or managed by a person, company, or nation in the expectation that it will be beneficial in the future is known as an asset. Assets are shown on a company's balance sheet and are purchased or constructed to increase the company's value or facilitate better operations.
A future asset may increase revenue, reduce expenses, or increase sales. A patent or a piece of manufacturing machinery can be the subject here. You can sell the things you possess for money; these are your assets. An asset is any resource that a company owns or has control over in accounting terms.
Calculation:
Current liabilities = $64,500 - $31,610 - $22,090 = $10,800.
Current assets are $19,450 + $10,800 = $30,250.
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Bart, Inc., a newly organized corporation, uses the equity method of accounting for its 30% investment in Rex Co.'s common stock. During 20X5, Rex paid dividends of $300,000 and reported earnings of $900,000. In addition: The dividends received from Rex are eligible for the 80% dividends-received deduction. All the undistributed earnings of Rex will be distributed in future years. There are no other temporary differences. Bart's 20X5 income tax rate is 30%. The enacted income tax rate after 20X5 is 25%. In Bart's December 31, 20X5 balance sheet, the deferred income tax liability should be
Answer:
The right answer is "$9,000". A further explanation is given below.
Explanation:
The given values are:
Rex paid dividends,
= $300,000
Reported earnings,
= $900,000
Investment,
= 30%
Taxable rate applicable,
= 25%
Now,
Throughout the future years, the amount of dividends taxable will be:
= \((900,000 - 300,000)\times 30 \ percent\)
= \(180,000\) ($)
Dividends received deduction will be:
= \(180,000\times 80 \ percent\)
= \(144,000\) ($)
then,
Net taxable dividend will be:
= \(180,000-144,000\)
= \(36,000\)
hence,
Deferred tax liability will be:
= \(36,000\times 25 \ percent\)
= \(9,000\) ($)
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
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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Which type of promotion would you use to attract costumers quickly with the help of coupons, samples, and free gifts?
Answer:
Sales promotion
Explanation:
Sales promotion is a marketing strategy of stimulating the demand for a product by offering attractive incentives to customers or retailers. Sales promotion aims at increasing the sales volumes of a product. It involves the use of persuasive tactics to convince the customer to buy. The effects of a sales promotion are usually short-term but may lead to the acquisition of long term customers. Some of the sales promotions commonly used include
Issuing discount coupons. Free giftsDiscount vouchersLoyalty cardsAnswer:
Sales promotion
Explanation:
Just took the test and got 100%
The reason that interest rate risk is greater for ____ term bonds than for ____ term bonds is that the change in rates has a greater effect on the present value of the ____ than on the present value of the ___
The reason that interest rate risk is greater for long-term bonds than for short-term bonds is that the change in rates has a greater effect on the present value of the Par Value than on the present value of the Coupon.
What is a Long-term Bond?Long-term bonds are investments that span a maturity term of at least 10 years and up to 30 years.
They usually pay a higher interest rate than the short-term bonds which span between a year and three years.
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