During the 1990s the countries of Mexico and Argentina went from economic paupers with huge foreign debts (capital account deficits) to countries posting strong economic growth and welcoming foreign investment
What would you expect these changes to do to their current account balances?
What will be an ideal response?
Answer: One would expect the current account balances to swing from surplus to deficit. Prior to the 1990s both countries had capital account deficits, which indicated a capital flight. As their economic growth increased and changed for the better, capital would most likely flow back into the countries. The result would be a capital account surplus. Given that the current account balance is the negative of the capital account balance, we would expect an initial current account deficit changing to a surplus.
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As a consultant to Basso Inc., you have been provided with the following data: D1 = $0.67; P0 = $27.50; and gL = 8.00% (constant). What is the cost of common from reinvested earnings based on the dividend growth approach?
A. 9.42% B. 9.91% C. 10.44% D. 10.96% E. 11.51%
During the ________, project planners identify how to accomplish the work, how to organize for the project, and the key personnel and resources needed
Fill in the blank(s) with the appropriate word(s).
Which of the following statements is true of illegal sales?
A) If a sale is divisible with a legal and illegal part, then neither part is enforceable by the law. B) An indivisible sale with an illegal part makes the entire sale illegal. C) If a sale involves several separate items but it is a lump-sum sale, then the sale is considered divisible. D)If a party is completely innocent and has entered into an illegal sale, the court will not intervene to aid the party.
What is a Web crawler and what function does it serve in a search engine?
What will be an ideal response?