Explain the steps necessary to take advantage of an arbitrage opportunity, which may exist between the dollar and yen, when a future yen payment is required

What will be an ideal response?


Rather than lock in the cost of a future yen payment with a forward or futures contract, calculate the PV of the yen payment using yen rates. Convert this figure to dollars at the spot rate. Borrow at the dollar rate, thus locking in your dollar cost. Exchange those funds and place in a yen time deposit account until needed.

Business

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When you list everything you are able to see, hear, taste, smell, or touch from your present location as a technique to brainstorm, you are focusing on the ______.

Fill in the blank(s) with the appropriate word(s).

Business

During its first year of operations, Silverman Company paid $14,000 for direct materials and $19,000 for production workers' wages. Lease payments and utilities on the production facilities amounted to $17,000 while general, selling, and administrative expenses totaled $8,000. The company produced 5,000 units and sold 3,000 units at a price of $15.00 a unit.What is the amount of gross margin for the first year?

A. $15,000 B. $20,000 C. $45,000 D. $24,000

Business

Which of the following is the first step in conducting a conventional job analysis?

A. develop preliminary job information B. verify job description C. conduct initial tour of work site D. conduct interviews E. consolidate job information

Business

Which of the following is not a criticism of the organizational process model?

a. The recognition that values and feelings also play an important role in decision making. b. The fact that decisions are prevented from forecasting the future and acting on the basis of a predetermined vision. c. The fact that decision makers are forced to make incremental changes based on standard operating procedures. d. The fact that organizations create their own institutionalized rationality.

Business