Assume IBM enters into a forward contract to purchase 200,000 euros at a rate of $1.50/euro one year from today. If the spot exchange rate is $2/euro one year later, what is the dollar amount that IBM must pay to receive the euros?
A) $200,000
B) $225,000
C) $400,000
D) $300,000
Answer: D
You might also like to view...
Tahoe Ski Company uses the perpetual inventory system and the net method of accounting for purchases. The company had the following transactions during January:January 6:Purchased $4,000 of inventory. The seller's credit terms are 2/10, n/30.January 8:Returned $200 worth of defective units and received full credit.January 15: Paid the amount due, less the returned items.Prepare journal entries to record each of the preceding transactions.
What will be an ideal response?
Men and women often exhibit nonverbal communication styles that reflect the expectations of ______.
Fill in the blank(s) with the appropriate word(s).
Calculate the cost of capital of Grantz Inc. when the net and economic profits generated by the company are $180 million and $24 million, respectively, and the total invested capital is $940 million
A) 24.3% B) 20.5% C) 12.2% D) 8.5% E) 16.6%
The performance evaluation form for line workers at TrueBlue lists five key dimensions of performance. There is a vertical scale for each dimension, and each scale uses critical incidents that are assigned point values. This type of scale is known as
A. the mixed-standard scale. B. the global rating. C. the behaviorally anchored rating scale. D. the dimensional rating.