In general, NDF markets normally develop for country currencies having large cross-border capital movements, but still subject to convertibility restrictions

Indicate whether the statement is true or false.


Answer: TRUE

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A check that has a full endorsement can be further endorsed by any bearer and, therefore, is not as safe as a check with a blank endorsement.

Answer the following statement true (T) or false (F)

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Lineberger Corporation had the following information available from its 2011 balance sheet and income statement: Interest expense $68,000 Interest payable - beginning 4,500 Interest payable - ending 8,000 What amount would be reported as cash outflows for interest on the statement of cash flows for 2011 using the direct method?

A) $71,500 B) $80,500 C) $64,500 D) $55,500

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Under the Fair Packaging and Labeling Act, which of the following governmental units promulgates rules governing the labeling and packaging of products?

A) the Federal Trade Commission B) the Occupational Safety and Health Administration C) the Interstate Commerce Commission D) the Department of Health and Human Services

Business

Settles Corporation has provided the following financial data:Balance SheetDecember 31, Year 2 and Year 1AssetsYear 2Year 1Current assets:      Cash$142,000 $110,000 Accounts receivable, net 104,000  120,000 Inventory 119,000  120,000 Prepaid expenses 37,000  40,000 Total current assets 402,000  390,000 Plant and equipment, net 717,000  720,000 Total assets$1,119,000 $1,110,000        Liabilities and Stockholders' Equity      Current liabilities:      Accounts payable$156,000 $180,000 Accrued liabilities 84,000  70,000 Notes payable, short term 66,000  60,000 Total current liabilities 306,000  310,000 Bonds payable 250,000  250,000 Total liabilities 556,000  560,000 Stockholders' equity:      Common stock, $4 par

value 240,000  240,000 Additional paid-in capital 90,000  90,000 Retained earnings 233,000  220,000 Total stockholders' equity 563,000  550,000 Total liabilities & stockholders' equity$1,119,000 $1,110,000 Income StatementFor the Year Ended December 31, Year 2Sales (all on account)$1,360,000 Cost of goods sold 850,000 Gross margin 510,000 Operating expenses 462,692 Net operating income 47,308 Interest expense 19,000 Net income before taxes 28,308 Income taxes (35%) 9,908 Net income$18,400 Dividends on common stock during Year 2 totaled $5,400. The market price of common stock at the end of Year 2 was $5.89 per share.The company's price-earnings ratio for Year 2 is closest to: A. 1.52 B. 12.53 C. 19.00 D. 7.46

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