It is 1st April today, and you as an investment analyst in the GFC Bank been approached by a corporate client who wants to invest $2 billion from 1st July to 1st October. The prevailing 3-month fixed investment rate today is 6.00% p.a. while the floating Libor rate on 1st July is uncertain at the moment. There are 92 days between 1st July and 1st October, and the actual / 360 convention is used for FRA pricing. If the floating Libor rate turns out to be 6.25% p.a. on 1st July, you are required to evaluate and identify the highest net interest revenue for this 3-month investment based on the 3 following interest rate hedge instruments: a) 3 x 6 FRA contracts (10 marks) b) Eurodollar Futures contracts (10 marks) c) Bank Accepted Bills Futures contracts (15 marks) (insert your answer here).

Answers

Answer 1

(a). the net interest revenue for the FRA buyer is:
$2 billion x 6.25% x 92/360 - $12.22 million = $30.28 million

(b). The net interest revenue for the Eurodollar Futures buyer is:
$2 billion x 6.25% x 92/360 - $312,500 = $30.20 million

(c). The net interest revenue for the Bank Accepted Bills Futures buyer is:
$2 billion x 6.25% x 92/360 - $312,500 = $30.20 million

(a). How to find 3 x 6 FRA contracts?


A 3 x 6 FRA contract is an agreement between two parties to exchange a fixed interest rate (6.00% p.a.) for a floating interest rate (Libor) on a notional amount of $2 billion for 92 days starting from 1st July. If the floating Libor rate on 1st July is 6.25% p.a., the FRA buyer will receive a cash settlement of:
$2 billion x (6.25% - 6.00%) x 92/360 = $12.22 million

Therefore, the net interest revenue for the FRA buyer is:
$2 billion x 6.25% x 92/360 - $12.22 million = $30.28 million

(b). How to find Eurodollar Futures contracts?

Eurodollar Futures contracts are standardized futures contracts traded on the Chicago Mercantile Exchange (CME). Each contract represents a notional amount of $1 million for a 3-month period. If the floating Libor rate on 1st July is 6.25% p.a., the Eurodollar Futures price will be:
100 - 6.25% x 92/360 = 99.84375

To hedge the $2 billion investment, we need to buy 2,000 Eurodollar Futures contracts (notional amount of $2 billion). The total cost of the hedge is:
2,000 x $1 million x (100 - 99.84375) = $312,500

The net interest revenue for the Eurodollar Futures buyer is:
$2 billion x 6.25% x 92/360 - $312,500 = $30.20 million

(c). How to find Bank Accepted Bills Futures contracts?


Bank Accepted Bills Futures contracts are also standardized futures contracts traded on the CME. Each contract represents a notional amount of $1 million for a 3-month period. The underlying asset is a Bank Accepted Bill, which is a short-term debt instrument issued by a bank with a fixed interest rate. If the floating Libor rate on 1st July is 6.25% p.a., we can assume that the Bank Accepted Bill rate is also 6.25% p.a. To hedge the $2 billion investment, we need to buy 2,000 Bank Accepted Bills Futures contracts (notional amount of $2 billion). The total cost of the hedge is:
2,000x $1 million x (100 - 99.84375) = $312,500

The net interest revenue for the Bank Accepted Bills Futures buyer is:
$2 billion x 6.25% x 92/360 - $312,500 = $30.20 million


Based on the above analysis, both the Eurodollar Futures and Bank Accepted Bills Futures contracts offer the same net interest revenue of $30.20 million, which is the highest among the three interest rate hedge instruments. Therefore, the best hedge instrument for the corporate client's investment is either Eurodollar Futures or Bank Accepted Bills Futures contracts.

Learn more about contract

brainly.com/question/2669219

#SPJ11


Related Questions

The major transactions captured in a nation's balance of payments accounts include all of the following except:
A. exports of goods and services.
B. expenditures by foreign tourists in the domestic economy.
C. income from overseas investments.
D. US government budget deficit or surplus
E. All are included
F. None is included

Answers

The correct answer is D US government budget deficit or surplus. balance of payments accounts tracks a country's transactions with the rest of the world over a period of time, typically a year.

The major transactions captured in a nation's balance of payments accounts include exports and imports of goods and services, income from overseas investments, and expenditures by foreign tourists in the domestic economy. These transactions are categorized into two accounts: the current account and the capital and financial account.The current account includes transactions in goods and services, income, and current transfers. The capital and financial account includes capital transfers, foreign investment in domestic assets, and domestic investment in foreign assets.

Learn more about government budget deficit or surplus here:https://brainly.com/question/26010226

#SPJ11

if a country experiences a reduction in interest rates relative to u.s. interest rates, and there is no change in inflationary conditions, that country's investors will

Answers

U.S interest rates there is no change in inflationary conditions, that country's investors will increase their investments in U.S securities, and there is downward pressure on its currency's equilibrium value, option B.

The amount a lender charges a borrower is called an interest rate, and it is expressed as a percentage of the principle, or the lent amount. The annual percentage rate (APR), which represents the interest rate on a loan, is commonly stated on an annual basis.

A savings account or certificate of deposit (CD) balance that is earned at a bank or credit union may also yield interest. The interest received on these bank accounts is measured in annual percentage yields (APY).

The majority of loan and borrowing transactions thus include interest rates. People take out loans to buy houses, finance initiatives, start or fund enterprises, or cover college tuition. Businesses get loans to finance capital projects and grow their business by acquiring long-term and fixed assets like real estate, buildings, and equipment. The repayment of borrowed funds might be made in one lump sum by a specific date or over the course of several payments.

Learn more about interest rates:

https://brainly.com/question/30584212

#SPJ4

Complete question:

If a country experiences a reduction in interest rates relative to U.S. interest rates, and there is no change in inflationary conditions, that country's investors will ____ their investments in U.S. securities, and there is ____ pressure on its currency's equilibrium value.

a. ​decrease; upward

b. ​increase; downward

c. ​increase; upward

d. ​decrease; downward

how the strain rate and the temperature affect the metal forming process in an industrial context?

Answers

The strain rate and temperature are two critical factors that significantly affect the metal forming process in an industrial context. Strain rate refers to the rate at which the metal is deformed during the forming process.

High strain rates increase the flow stress and cause strain hardening of the metal, making it more difficult to deform. On the other hand, low strain rates cause the metal to undergo plastic deformation easily.

Temperature, on the other hand, affects the metal's ability to undergo plastic deformation. The temperature of the metal determines the amount of energy needed to deform it, and the required force to deform it. Higher temperatures lead to a decrease in the flow stress and increase the metal's ductility. However, temperatures that are too high may cause defects in the metal, such as cracks and fractures.

In an industrial context, the combination of strain rate and temperature is essential for achieving the desired mechanical properties of the formed metal product. By controlling these variables, manufacturers can optimize the metal forming process to produce high-quality products with the desired properties.

For example, high strain rates and temperatures are ideal for materials that require higher strength, while low strain rates and temperatures are suitable for materials that need to be more ductile. Ultimately, understanding the interplay between strain rate and temperature is vital for manufacturers to produce metal products with the desired mechanical properties.

For more about industrial context:

https://brainly.com/question/30538435

#SPJ11

The internal rate of return is: O A. the discount rate that equates the present value of the cash inflows with the present value of the cash outflows. B. the discount rate that makes the NPV positive O c. the discount rate that makes NPV negative, O D. the rate of return that makes the NPV positive.

Answers

The internal rate of return is:  the rate of return that makes the NPV positive. (option D)

The Internal Rate of Return (IRR) is a financial metric used to evaluate the attractiveness or profitability of an investment. It is also known as the time-weighted rate of return (TWR). The IRR is calculated by finding the discount rate that makes the present value of the expected cash inflows from the investment equal to the present value of the expected cash outflows.

In other words, the IRR is the rate at which the net present value (NPV) of an investment is zero. The net present value is the difference between the present value of the cash inflows and the present value of the cash outflows. If the NPV is positive, it means that the investment is profitable, and if it is negative, the investment is not profitable.

The IRR is important because it provides investors with a measure of the rate of return they can expect from an investment. It is also used as a benchmark for comparing the profitability of different investments. A higher IRR indicates that an investment is more profitable, while a lower IRR indicates that an investment is less profitable.

Learn more about internal rate of return here:

https://brainly.com/question/29581665

#SPJ11

matt is a loan officer with kentucky state bank and has an mlo endorsement. which act governs his mlo-related activities?

Answers

Matt's MLO-related activities are governed by the Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act).

This act requires that all loan officers, including Matt, be registered with the Nationwide Mortgage Licensing System and Registry (NMLS) and pass a written test to obtain an MLO endorsement. As a loan officer with Kentucky State Bank and possessing an MLO endorsement, Matt must adhere to the regulations and guidelines set forth by the SAFE Act in order to conduct his MLO-related activities lawfully and ethically. The Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act) governs Matt's MLO-related activities as a loan officer with an MLO (Mortgage Loan Originator) endorsement. According to the SAFE Act, MLOs must register with the NMLS and adhere to all applicable local, state, and federal laws regarding mortgage origination.

learn more about  loan officers here:

https://brainly.com/question/1344597

#SPJ11

Suppose a ten-year, $1,000 bond with an 8.9% coupon rate and semi-annual coupons is trading for $1,034.34. What is the bond's yield to maturity (expressed as an APR with semi-annual compounding)? If the bond's yield to maturity changes to 9.4% APR, what will be the bond's price? What is the bond's yield to maturity (expressed as an APR with semiannual compounding)? The bond's yield to maturity is %. (Round to two decimal places.)

Answers

The bond's yield to maturity is 9.00%, the bond's new price is $777.08

To calculate the bond's yield to maturity, we can use the following formula:

[tex]PV = C/(1+r/2) + C/(1+r/2)^2 + ... + C/(1+r/2)^20 + 1000/(1+r/2)^20[/tex]

Where PV is the present value of the bond (given as $1,034.34), C is the semi-annual coupon payment ($44.50 = $1,000 * 8.9% / 2), r is the yield to maturity, and the bond has 20 semi-annual periods left until maturity.

Using a financial calculator or spreadsheet, we can solve for the yield to maturity by trial and error. The yield to maturity for this bond is 4.24% (expressed as an APR with semi-annual compounding).

If the bond's yield to maturity changes to 9.4% APR, we can use the same formula to calculate the new price:

[tex]PV = C/(1+r/2) + C/(1+r/2)^2 + ... + C/(1+r/2)^20 + 1000/(1+r/2)^20[/tex]

Where r is now 9.4% APR with semi-annual compounding. Solving for PV, we get:

PV = $777.08

Therefore, the bond's new price is $777.08.

The bond's yield to maturity (expressed as an APR with semi-annual compounding) is 9.00% (rounded to two decimal places).

Learn more about bond's: brainly.com/question/25965295

#SPJ11

Kira loves Mexican food. She saw an ad for a new Mexican restaurant that touted its affordable prices. She went in to eat but thought the food was way too salty. Kira thought perhaps it was just a fluke. She tried the restaurant again, but the food tasted just as bad. For Kira the restaurant has a low _______.

Answers

Based on the given scenario, Kira has a low opinion of the Mexican restaurant she tried because of the salty taste of the food. This means that the restaurant has a low perceived value for her.

Perceived value is the overall assessment of the benefits received relative to the cost incurred. In Kira's case, the cost of the food was affordable, but the taste did not meet her expectations, leading to a low perceived value.The restaurant's pricing strategy may have attracted Kira to try the food, but the quality of the food did not meet her expectations. Therefore, the restaurant has failed to provide the expected benefits, which in turn has affected Kira's perception of the restaurant. This can lead to negative word-of-mouth advertising, which can affect the restaurant's reputation and business.In conclusion, the restaurant has a low perceived value for Kira due to the poor quality of food, despite its affordable prices. It is important for businesses to provide quality products and services that meet customer expectations to maintain a positive reputation and increase customer loyalty.

For more such question on perceived value

https://brainly.com/question/28156000

#SPJ11

Classify the Accounts Classify which part of the expanded accounting equation each account title belongs to by dragging the account into the correct bucket. View drag and drop keyboard instructions Salaries Common Stock Receivable Payable Notes Payable Dividends

Answers

Receivable falls under assets, while salaries payable, payable, and notes payable fall under liabilities. Lastly, common stock and dividends fall under an owner's equity.

Classify the given account titles according to the expanded accounting equation. The equation is: assets = liabilities + owner's equity.

1. Salaries (payable): This account title belongs to the Liabilities part of the equation, as it represents the ability by the company to its employees for their work.

2. Common Stock: This account title belongs to the Owner's Equity part of the equation, as it represents the ownership interest of shareholders in the company.

3. Receivable: This account title belongs to the assets part of the equation, as it represents the amount owed to the company by its customers for goods or services provided.

4. Payable: This account title belongs to the Liabilities part of the equation, as it represents the amount owed by the company to its suppliers for goods or services received.

5. Notes Payable: This account title belongs to the Liabilities part of the equation, as it represents the amount owed by the company to lenders for borrowed funds.

6. Dividends: This account title belongs to the owner's equity part of the equation, as it represents the distribution of profits to shareholders.

To summarize, Assets include Receivable, whereas Liabilities include Salary Payable, Payable, and Notes Payable. Owner's equity also includes dividends and common stock.

For more such questions on equity , click on:

https://brainly.com/question/30324334

#SPJ11

"Now what do I do?" moaned your colleague, Matt. "This is a first for me," he confided. You and Matt are recent hires in the Accounting Division of National Paper. A top executive in the company has been given share-based incentive instruments that permit her to receive shares of National Paper equal in value to the amount the company shares rise above the shares’ value two years ago when the instruments were issued to her as compensation. The instruments vest in three years. A clause was included in the compensation agreement that would permit her to receive cash rather than shares upon exercise if sales revenue in her division were to double by that time. Because that contingency was considered unlikely, the instruments have been accounted for as equity, with the grant date fair value being expensed over the five-year vesting period. Now, though, surging sales of her division indicate that the contingent event has become probable, and the instruments should be accounted for as a liability rather than equity. The fair value of the award was estimated at $5 million on the grant date, but now is $8 million. Matt has asked your help in deciding what to recommend to your controller as the appropriate action to take at this point. Required: Obtain the relevant authoritative literature on accounting for a change in classification due to a change in probable settlement outcome using the FASB Accounting Standards Codification at the FASB website. Explain to Matt the basic treatment of the situation described. What is the specific citation that you would rely on in applying that accounting treatment Prepare the journal entry to record the change in circumstance. Be sure to make two entries: 1) your own answer to each question asked, and 2) your response to another student's answer.

Answers

The appropriate action to take is to account for the share-based incentive instruments as a liability rather than equity due to the change in probable settlement outcome. The specific citation to rely on in applying that accounting treatment is ASC 718-10-55-37.

Which states that if the probable outcome of a contingent event changes after the grant date, the classification of the award should be adjusted to reflect the change in the estimated settlement outcome.To record the change in circumstance, the following journal entry should be made: Debit: Share-Based Incentive Liability $3 million
Credit: Additional Paid-In Capital $3 million
This entry reflects the increase in fair value of the award from $5 million to $8 million and the reclassification of the instruments as a liability. The Share-Based Incentive Liability account is created to record the liability for the probable cash settlement of the awards. The Additional Paid-In Capital account is credited to reflect the reduction in the amount of equity previously recognized.
In response to another student's answer, if they suggest recording the change in circumstance by debiting Retained Earnings and crediting the Share-Based Incentive Liability, I would respectfully disagree. Retained Earnings should not be affected by this change in circumstance since it represents earnings that have been retained by the company and not used for distribution to shareholders or other purposes.

The Share-Based Incentive Liability account should be debited to recognize the liability for the probable cash settlement of the awards, and the Additional Paid-In Capital account should be credited to reflect the reduction in the amount of equity previously recognized.

For more such questions on liability visit:

https://brainly.com/question/31453796

#SPJ11

in early childhood, executive function involves which of the following developmental advances?-goal-setting-cognitive inhibition-cognitive flexibility

Answers

In early childhood, executive function involves several developmental advances. These include goal-setting, cognitive inhibition, and cognitive flexibility.

Goal-setting refers to the ability to establish and work towards achieving specific objectives. This involves planning, prioritizing, and organizing actions in order to achieve desired outcomes. Young children who have developed this skill can set goals for themselves and work towards achieving them, even in the face of obstacles or distractions.

Cognitive inhibition is the ability to control one's attention, thoughts, and behaviors in order to resist distractions and maintain focus on a specific task or goal. This involves the ability to suppress automatic or impulsive responses, delay gratification, and resist temptations or distractions that might interfere with achieving a goal.

Cognitive flexibility is the ability to shift one's thinking and adjust to changing situations or circumstances. This involves being able to adapt to new information, revise plans or strategies as needed, and respond to unexpected events or changes in the environment. Children who have developed this skill are able to switch between different tasks, perspectives, or strategies in order to achieve their goals.

Overall, these three developmental advances are critical components of executive function in early childhood. As children continue to develop and mature, they will build on these foundational skills and further refine their ability to set goals, exercise cognitive inhibition, and demonstrate cognitive flexibility.

To know more about cognitive inhibition:

https://brainly.com/question/29023800

#SPJ11

The recording of a company's purchase returns and purchase allowances are similar in that both may result in a(n) _____. (Check all that apply.)
a. decrease in Accounts Payable
b. increase in Inventory
c. decrease in Inventory
d. increase in Accounts Receivable
e. increase in Accounts Payable

Answers

The recording of a company's purchase returns and purchase allowances are similar in that both may result in a decrease in Inventory.(option c).

Purchase returns refer to the goods that a company returns to the supplier due to a defect, damage, or any other reason. On the other hand, purchase allowances are discounts given by the supplier to the company as a promotional activity, goodwill gesture, or as compensation for a defect or delay in delivery.

Both purchase returns and purchase allowances may result in a decrease in inventory, as the goods are either returned or discounted. When a company returns goods, it reduces the cost of goods sold and decreases accounts payable, as the supplier owes them less money.

However, purchase returns and purchase allowances have different effects on accounts receivable. Purchase returns do not affect accounts receivable, while purchase allowances may result in an increase in accounts receivable if the supplier offers a credit memo or a refund.

So, the correct option is (c).

To know more about allowances here

https://brainly.com/question/31148150

#SPJ4

the probability of an outcome being within two standard deviations of the mean in a normal distribution is approximately _______ percent.
O 95O 68O 57
O 73

Answers

In a normal distribution, approximately 68 percent of the outcomes are within one standard deviation of the mean, and approximately 95 percent of the outcomes are within two standard deviations of the mean. Here option A is the correct answer.

To understand this concept, consider a normal distribution with a mean of 50 and a standard deviation of 10. According to the empirical rule, approximately 68 percent of the outcomes will fall within the range of 40 to 60 (one standard deviation away from the mean). Approximately 95 percent of the outcomes will fall within the range of 30 to 70 (two standard deviations away from the mean).

This rule is particularly useful in statistics as it allows us to make estimates about the likelihood of an outcome falling within a certain range.

For example, if we know that the distribution of heights in a population follows a normal distribution with a mean of 170 cm and a standard deviation of 10 cm, we can use the empirical rule to estimate that approximately 95 percent of the population will have heights between 150 cm and 190 cm.

To learn more about normal distribution

https://brainly.com/question/29509087

#SPJ4

Complete question:

The probability of an outcome being within two standard deviations of the mean in a normal distribution is approximately _______ percent.

A - 95

B - 68

C - 57

D - 73

cheyenne corp. has total assets of $3581000, common stock of $939000, and retained earnings of $596000 at december 31, 2022. what are the creditors’ claims on their assets at that date

Answers

The creditors' claims on the assets of Cheyenne Corp. at December 31, 2022, are $2,046,000.

The creditors' claims on the assets of Cheyenne Corp. can be calculated using the following formula:

Creditors' claims = Total assets - Common stock - Retained earnings

Substituting the given values:

Creditors' claims = $3,581,000 - $939,000 - $596,000

Creditors' claims = $2,046,000

Therefore, the creditors' claims on the assets of Cheyenne Corp. at December 31, 2022, are $2,046,000.

To know more about earnings . here

https://brainly.com/question/30074795

#SPJ1

When an invoice does not pass the tolerance check, it requires an audit.
True or False

Answers

False. When an invoice does not pass the tolerance check, it requires an investigation or review, but not necessarily an audit.

What is an invoice?

An invoice is a commercial document that contains details of goods or services that have been provided by a vendor to a customer. It is a formal request for payment that includes information such as the date of the transaction, a description of the goods or services provided, the quantity and price of the items, and any applicable taxes or fees.

Invoices are typically used in business-to-business transactions, where a vendor provides goods or services to a customer on credit. In this context, an invoice serves as a record of the transaction and provides the customer with an itemized list of the goods or services provided and the amount owed.

According to the given information

False. When an invoice does not pass the tolerance check, it requires an investigation or review, but not necessarily an audit. A tolerance check is a process used by companies to ensure that invoices are accurate and do not exceed certain pre-set limits or thresholds. If an invoice exceeds these limits, it will typically require additional review or investigation to determine the cause of the discrepancy. This may involve checking the invoice for errors or discrepancies or contacting the vendor to clarify any questions or concerns. While an audit may be necessary in some cases, it is not always required for invoices that do not pass the tolerance check.

To know more about invoices visit:

https://brainly.com/question/31240396

#SPJ1

Payments to individuals for which no current goods or services are exchanged are known asMultiple ChoiceO AD shortfalls.
O AD excesses.
O income transfers.
O Social Security payroll taxes.

Answers

Payments to individuals for which no current goods or services are exchanged are known as income transfers. Examples include welfare, unemployment benefits, and certain types of government subsidies.

Income transfers are payments made to persons for which no present commodities or services are exchanged. These payments are given by the government or other organisations to help people or families who may be struggling for a variety of reasons, including unemployment, disability, or poor income.

Welfare, unemployment payments, food stamps, and specific government subsidies are a few examples of income transfers. Income transfers are direct payments delivered to those in need without an exchange of current goods or services, in contrast to social security payroll taxes, which are paid by individuals and their employers to support future retirement benefits.

Learn more about income transfers:

https://brainly.com/question/15556641

#SPJ4

accounting generates financial information for people outside the firm, while accounting generates financial information for people inside the firm. T/F

Answers

The given statement "Financial accounting gives financial information to people outside firm, Managerial accounting gives information to people inside firm." is True because they differ in information of finance.

Financial accounting and managerial accounting are two distinct branches of accounting that serve different purposes.

Financial accounting is focused on providing financial information to external parties such as investors, creditors, and regulators, while managerial accounting is focused on providing financial information to internal users such as managers and executives.

Financial accounting reports on a company's financial performance and position through financial statements like the balance sheet, income statement, and cash flow statement.

These financial statements are prepared according to Generally Accepted Accounting Principles (GAAP) and are intended to provide a snapshot of the company's financial health to external parties.

In contrast, managerial accounting reports provide information on the company's operational performance, such as budgets, forecasts, and cost analyses. These reports are tailored to the needs of internal users and are used to make decisions related to budgeting, planning, and strategy.

To learn more about account click on,

https://brainly.com/question/22917325

#SPJ4

Complete question is:

Financial accounting generates financial information for people outside the firm, while Managerial accounting generates financial information for people inside the firm. T/F

deena works at a small brewery. she is the only person trained in changing out the labels on the automatic bottling machine. the brewery has high dependency on deena because she has low question 11 options: scarcity. substitutability. importance. sustainability.

Answers

Deena's importance in the brewery can be attributed to the concept of scarcity. As the only person trained in changing out the labels on the automatic bottling machine, her skills are rare and valuable to the operation of the brewery.

Without her, the brewery may not be able to produce and distribute their product efficiently. This highlights the importance of ensuring that multiple individuals are trained in essential tasks to avoid reliance on a single person.

Substitutability and sustainability are also important concepts to consider in a business, as they can help to ensure long-term success and reduce dependence on specific individuals or resources.

To know more about scarcity,refer to the link:

https://brainly.com/question/13186252#

#SPJ11

omega transports is a carrier that other companies hire to transport their goods from one location to another. what type of inland marine policy should omega transports purchase if they want protection against their liability for damages to goods in their custody during transport?

Answers

Omega Transports should purchase a Motor Truck Cargo Liability policy. This type of inland marine policy provides protection against their liability for damages to goods in their custody during transport, ensuring coverage in case of loss or damage.

Omega Transports should consider purchasing an Inland Marine Cargo Insurance policy. This policy is specifically designed to cover goods in transit and protects the carrier against liability for damages or losses to the cargo while it is in their custody. It covers a wide range of risks including theft, damage from collisions or other accidents, and even natural disasters. This type of policy is essential for any carrier transporting goods for other companies, as it provides a valuable layer of protection against potential financial losses due to damaged or lost cargo.

Learn More about policy here :-

https://brainly.com/question/28024313

#SPJ11

The reject rates at the company's footwear production facilities are a function of such factors as O the S/Q rating of the pairs being produced, the percentage use of superior materials, and the installation of production improvement option C.O the size of the incentive payment per non-defective pair produced, per pair spending for TOM Six Sigma quality control efforts, the number of models/styles comprising the company's product line, and the installation of plant upgrade option A O per worker expenditures for best practices training, the number and size of each prodction facility's production capacity (not including overtime), the number of hours of overtime pay production workers receive, and whether the production facility has installed production improvement option D O spending for TQM/Six Sigma quality control efforts the number of models/styles comprising the company's product line, the percentage use of new equipment versus refurbished equipment, and whether production improvement option A has been installed.O the size of worker's annual base pay, year-end incentive bonuses, the number of hours of overtime pay. the the S/Q rating of the pairs being produced, and the number of models/styles comprising the company's product line.

Answers

The reject rates at the company's footwear production facilities are a function of such factors as the size of the incentive payment per non-defective pair produced, per pair spending for TQM Six Sigma quality control, the number of models/styles comprising the company's product line, and the installation of plant upgrade option A that is option B.

The amount of candidates a corporation rejects throughout the screening process is referred to as the rejection rate. They typically don't get hired since they don't fit the criteria listed in the job description. This indicates that after submitting their application, they do not participate in the interview process or advance in the hiring process.

The so-called offer decline rate, which shows how frequently applicants who have gotten a direct employment offer from a firm ultimately reject it, should not be confused with the rejection rate.

The number of rejections is divided by the total number of applications, and the resulting number is multiplied by 100 to obtain the rejection rate as a percentage. This results in the formula:

Rejection rate is calculated as follows: 100 applications received / 100 applications rejected.

Learn more about Rejects rates:

https://brainly.com/question/28103361

#SPJ4

gillian quit her sales job, which paid $60,000 per year, and became a middle-school science teacher earning $48,000 per year. what is gillian's opportunity cost of switching careers?

Answers

Gillian's opportunity cost of switching careers is $12,000 per year.

The opportunity cost of switching careers is:

$60,000 per year - $48,000 per year = $12,000 per year

Opportunity cost refers to the value of the next best alternative that must be foregone in order to pursue a certain action or decision. It is the cost of the opportunity lost, the benefit that could have been gained from the best alternative option that was not chosen. Understanding opportunity cost is important because it helps individuals and organizations make informed decisions by weighing the potential benefits and costs of different options.

Every decision we make involves an opportunity cost because we have limited resources, such as time, money, and skills. When we choose one option, we give up the opportunity to enjoy the benefits of another option. For example, if a student decides to attend a party instead of studying for an exam, the opportunity cost of attending the party is the potential improvement in their grade that could have been achieved through studying.

To learn more about Opportunity cost visit here:

brainly.com/question/24319061

#SPJ4

true or false? when a business uses bartering for services, there are no accounting transactions to worry about.

Answers

The above statement is true. When a business uses bartering for services, there are no accounting transactions to worry about.

What is bartering?

Bartering is an act of trading goods or services between two or further parties without the use of money — or a financial medium, similar as a credit card. In substance, merchandising involves the provision of one good or service by one party in return for another good or service from another party. A simple illustration of a trade arrangement is a carpenter who builds a hedge for a planter. rather of the planter paying the builder$,000 in cash for labor and accoutrements , the planter could instead recompense the carpenter with$,000 worth of crops or foodstuffs. Merchandising is grounded on a simple conception Two individualities negotiate to determine the relative value of their goods and services and offer them to one another in an indeed exchange. It's the oldest form of commerce, dating back to a time ahead hard currency indeed was.

To learn more about Bartering click on the given link:

https://brainly.com/question/31433972

#SPJ1

As diversification increases, the unsystematic risk of a portfolio approaches
A) 1
B) 0
C) infinity
D) (n-1) *1

Answers

Based on the mentioned case, as diversification increases, the unsystematic risk of a portfolio approaches 0. So option B is the correct answer.

Unsystematic risk, also known as company-specific risk, is the risk that is specific to an individual company or asset and can be reduced through diversification. Systematic risk, on the other hand, is the risk that is inherent in the overall market and cannot be diversified away.

As a portfolio becomes more diversified, the impact of any individual company-specific risk becomes relatively smaller. This means that the unsystematic risk of the portfolio approaches zero as diversification increases. However, systematic risk remains a constant risk for the portfolio regardless of how diversified it is.

Therefore, option B, 0, is the correct answer.

Learn more about unsystematic risk :

https://brainly.com/question/29303950

#SPJ4

Read the following case study and answer the questions below: Rebecca’s Dilemma Rebecca graduated from a local university with a Bachelor’s degree in Business Administration. After applying to a few companies for jobs, finally she settled with an offer from a Four Star Hotel in her own hometown. After the orientation process, she settled in her job, as the Training Manager. Her duties included administration work related to human resource management, designing training programs for lower level employees and coordinating training activities for food and beverage department, house-keeping services, and overall maintenance areas of the hotel. Of all her responsibilities, she showed keen interest in training related activities. Her boss, Lambert was impressed by Rebecca’s attitude and keen interest shown in her work activities .

Answers

Rebecca has recently graduated with a Bachelor's degree in Business Administration and has secured a job as a Training Manager at a Four Star Hotel in her hometown. Her duties include human resource management, designing training programs, and coordinating training activities for various departments of the hotel. She has shown a keen interest in training-related activities, which has impressed her boss, Lambert.

Rebecca's Dilemma presents a case study of a recent graduate who has secured a job as a Training Manager at a Four Star Hotel. In her role, Rebecca is responsible for various tasks related to human resource management, designing training programs, and coordinating training activities across different departments, such as food and beverage, housekeeping, and maintenance. Her enthusiasm and dedication to her work have impressed her boss, Lambert.

Learn more about Bachelor's degree here:-

https://brainly.com/question/5709442

#SPJ11

amazon reports the following in footnotes to its 2018 financial statements. we serve consumers through our online and physical stores and focus on selection, price, and convenience. we design our stores to enable hundreds of millions of unique products to be sold by us and by third parties across dozens of product categories. customers access our offerings through our websites, mobile apps, alexa, and physically visiting our stores. we also manufacture and sell electronic devices, including kindle e-readers, fire tablets, fire tvs, and echo devices, and we develop and produce media content. in addition, we offer amazon prime, a membership program that includes unlimited free shipping on over 100 million items, access to unlimited streaming of thousands of movies and tv episodes, and other benefits. for each of the following revenue streams, list the nature of the performance obligation and when amazon would recognize revenue for that performance obligation.

Answers

Revenue is the total amount of income generated by the sale of goods or services related to the company's primary operations. Revenue, also known as gross sales, is often referred to as the "top line" because it sits at the top of the income statement. Income, or net income, is a company's total earnings or profit

1. Online and physical store sales:
Nature of the performance obligation: Selling products to customers through online and physical stores.
Revenue recognition: Amazon would recognize revenue when the customer's order is shipped or when the customer purchases the product in-store.

2. Third-party product sales:
Nature of the performance obligation: Facilitating the sale of products by third parties on Amazon's platform.
Revenue recognition: Amazon would recognize revenue when the third-party seller's product is shipped to the customer.

3. Electronic devices sales:
Nature of the performance obligation: Manufacturing and selling electronic devices, such as Kindle e-readers, Fire tablets, Fire TVs, and Echo devices.
Revenue recognition: Amazon would recognize revenue when the electronic device is shipped to the customer or purchased in-store.

4. Media content production and sales:
Nature of the performance obligation: Developing and producing media content for customers to purchase or access.
Revenue recognition: Amazon would recognize revenue when the customer purchases the content or, for streaming content, when the customer accesses the content.

5. Amazon Prime membership program:
Nature of the performance obligation: Providing various benefits, such as free shipping, access to streaming content, and other perks, through the Amazon Prime membership program.

Revenue recognition: Amazon would recognize revenue for the membership program on a pro-rata basis over the duration of the membership term, as the customer receives the benefits throughout the membership period.

To learn more about “revenue” refer to the https://brainly.com/question/25102079

#SPJ11

______ research is characterized by data that can be converted into numbers. a. inductive b. quantitative c. qualitative d. empirical

Answers

Answer:

B

Explanation:

The correct answer is b. quantitative.

Quantitative research is a type of research that involves collecting and analyzing numerical data. This type of research is often used to measure and quantify phenomena, such as attitudes, opinions, behaviors, and performance. The data collected in quantitative research can be analyzed using statistical methods to identify patterns, relationships, and trends.Inductive research, on the other hand, involves the generation of theories and hypotheses from qualitative data. Qualitative research is a type of research that involves collecting and analyzing non-numerical data, such as text, images, or observations. Empirical research is a type of research that involves the collection of data through observation or experimentation.

Therefore, option b. quantitative, is the correct answer to the question.

define both terms and explain the difference between microeconomics and macroeconomics. is gross domestic product a microeconomic or macroeconomic question? is the price change of pizza a microeconomic or macroeconomic question?

Answers

Microeconomics deals with individual components, while macroeconomics considers the entire economic system.

The difference between macroeconomics and microeconomics

Microeconomics is the study of individual economic units and their behavior, such as households and firms, focusing on how they make decisions and interact within the market.

Macroeconomics, on the other hand, is the study of the economy as a whole, examining aggregate economic factors like inflation, unemployment, and gross domestic product (GDP).

The difference between the two lies in their scope:

microeconomics deals with individual components, while macroeconomics considers the entire economic system.

Gross domestic product is a macroeconomic question, as it relates to the overall economic output and performance of a country.

The price change of pizza is a microeconomic question, as it concerns the supply and demand for a specific product and how various factors influence its price within the market.

Learn more about macroeconomics and microeconomics at

https://brainly.com/question/15264001

#SPJ11

Microeconomics and macroeconomics are two branches of economics that analyze different levels of economic activity.

Microeconomics focuses on the behavior of individual economic agents, such as households, firms, and industries. It examines how these agents make decisions regarding the allocation of scarce resources. Microeconomics studies factors like supply and demand, prices, production costs, market structures, and individual consumer choices. For example, microeconomics would analyze how a change in the price of a specific product, like pizza, affects the quantity demanded by consumers. On the other hand, macroeconomics studies the economy as a whole, including the overall levels of output, employment, and inflation. It looks at aggregate variables like Gross Domestic Product (GDP), which measures the total value of goods and services produced within a country's borders in a given time period. Macroeconomics also examines factors such as government policies, fiscal and monetary policy, and international trade. Now, let's answer the questions regarding GDP and the price change of pizza.  Gross Domestic Product (GDP) is a macroeconomic question. It measures the total economic activity within a country and provides an overview of the overall health of the economy. It takes into account the value of all goods and services produced, consumption, investment, government spending, and net exports. GDP considers the entire economy rather than focusing on individual products or sectors.On the other hand, the price change of pizza is a microeconomic question. It examines the specific impact of changes in the price of a single product, in this case, pizza, on consumer behavior and demand. It considers factors such as individual preferences, substitutes, and income levels.

In summary, microeconomics focuses on individual economic agents and their decision-making, while macroeconomics looks at the economy as a whole. GDP is a macroeconomic measure that provides an overview of overall economic activity, while the price change of pizza is a microeconomic question that examines the impact of price changes on consumer behavior.

To learn more about Microeconomics, visit here

https://brainly.com/question/31462293

#SPJ11

a selling organization is likely to copyright a written sales proposal when _____.
a) it wants a schedule of key implementation events to remain confidential b) the proposal includes testimonials and endorsements c) the proposal includes details of customer appointments d) it wants to protect proprietary information in the proposal e) the proposal is written in seller jargon

Answers

A selling organization is likely to copyright a written sales proposal when it wants to protect proprietary information in the proposal. The correct option is d. it wants to protect proprietary information in the proposal.

Copyrighting a sales proposal ensures that the information in the proposal is protected and cannot be used by competitors without permission. Proprietary information is any information that is unique to the selling organization, and it can include customer lists, trade secrets, and other confidential information.

By copyrighting a sales proposal, the organization can ensure that its proprietary information is protected and that it has legal recourse if its information is used without permission.

While a selling organization may want to keep a schedule of key implementation events or details of customer appointments confidential, these factors do not necessarily require copyright protection. Similarly, including testimonials and endorsements or using seller jargon may not warrant copyright protection unless these elements are unique to the selling organization and constitute proprietary information.

Ultimately, the decision to copyright a sales proposal will depend on the specific circumstances of the proposal and the selling organization's desire to protect its intellectual property. The correct option is d. it wants to protect proprietary information in the proposal.

For more about selling organization:

https://brainly.com/question/30037138

#SPJ11

Selling agents perform every wholesaling activity except a) transporting goods. b) setting prices. c) financing the products. d) taking title to products.

Answers

Selling agents are intermediaries who work for manufacturers or wholesalers to sell their products to retailers, distributors, or other buyers.

They are responsible for various tasks related to the selling process, including finding potential buyers, negotiating prices, promoting products, and managing the sales transaction. Selling agents perform every wholesaling activity except a) transporting goods. However, one activity that selling agents typically do not perform is transporting goods. This is because the transportation of goods typically involves the physical movement of the products from one location to another, typically handled by logistics companies or freight carriers.

Additionally, selling process typically do not take title to products, meaning they do not take ownership of the goods they are selling. Instead, they act as a representative of the manufacturer or wholesaler and earn a commission on their sales.

To learn more about selling process, visit here

https://brainly.com/question/30285483

#SPJ4

Assume that a company provided the following cost formulas for three of its expenses (where q refers to the number of hours worked): Rent (fixed) $3,000 Supplies (variable) $4.00q Utilities (mixed) $150 + $0.75q The company’s planned level of activity was 2,000 hours and its actual level of activity was 1,900 hours. If these are the company’s only three expenses and the company uses revenue formula of $8.90q for budgeting purposes, what net operating income would appear in the company’s flexible budget?
Multiple Choice
a.$4,835
b.$4,985
c.$4,735
d.$4,885

Answers

The net operating income would be:

$16,910 (Revenue) - $12,175 (Total Cost) = $4,735.

To calculate the flexible budget, we need to determine the total amount of each expense at the actual level of activity and then add them up to get the total cost.

Rent (fixed): This remains the same regardless of the level of activity. So it is $3,000.

Supplies (variable): This varies directly with the level of activity. At 1,900 hours, the cost would be $4.00 x 1,900 = $7,600.

Utilities (mixed): This includes both a fixed and a variable component. The fixed component is $150, which remains constant regardless of the level of activity. The variable component is $0.75q, where q is the number of hours worked. At 1,900 hours, the variable component would be $0.75 x 1,900 = $1,425. So the total cost of utilities would be $150 + $1,425 = $1,575.

Thus, the total cost at the actual level of activity of 1,900 hours would be:

$3,000 (Rent) + $7,600 (Supplies) + $1,575 (Utilities) = $12,175

To calculate the net operating income, we need to subtract the total cost from the total revenue. The revenue formula given is $8.90q, so at 1,900 hours, the revenue would be:

$8.90 x 1,900 = $16,910.

Learn more about Revenue here:

https://brainly.com/question/8645356

#SPJ11

true or false: providers of professional services have begun to use service marketing to better understand and segment their customers since their professional standards have been modified to permit advertising.

Answers

True. Providers of professional services have indeed started to use service marketing to better understand and segment their customers since their professional standards have been modified to allow advertising. This has enabled them to promote their services through various advertising and marketing channels to reach a wider audience and create brand awareness, ultimately leading to increased customer acquisition and retention.
True, providers of professional services have begun to use service marketing to better understand and segment their customers since their professional standards have been modified to permit advertising.

True. The modification of professional standards to permit advertising has enabled providers of professional services to use service marketing to better understand and segment their customers. This has allowed them to promote their services more effectively and differentiate themselves from their competitors.

Learn more about  marketing to better here;

https://brainly.com/question/29383186

#SPJ11

Other Questions
Use the Comparison Test to determine whether the series converges. 1 6k - V k = 1 Choose the correct answer below. O A. The Comparison Test with shows that the series diverges. 1 OB. The Comparison Test with shows that the series diverges. 6k 1 O c. The Comparison Test with shows that the series converges. VK 1 OD. The Comparison Test with 6k shows that the series converges. the theory of uniformitarianism suggests that . . . group of answer choices change occurs by natural selection all organisms are descended from a common ancestor the same natural forces we witness today have happened throughout earth's history geological processes happen slowly, over long periods of time what type of art decorates the interior of san vitale? Question 9 (1 point) The term that describes the evaporation of water from plant stomata is OA A) Evaporation B) Precipitation C) Transpiration D) Perspiration A manufacturer took the following actions to reduce inventory. Which of these is generally not accepted as a JIT action? A) It used a pull system to move inventory. B) It produced in ever smaller lots. C) It required deliveries directly to the point of use. D) It worked to reduce the company's in-transit inventory. E) It picked the supplier that offered the lowest price based on quantity discounts. Which sentence correctly uses the FIRST definition for ILLIUSTRATE? A. Please ILLUSTRATE your reasoning for deciding not to do your homework this week.B. Please use images to ILLUSTRATE the love that Della feels for Jim.C. Cite text from the story to ILLUSTRATE the love that Della feels for Jim. The demand equation for video games is given by x = 960 30p where x is the number of video games and p is in dollars. Find the value of p that maximizes the total revenue. $14 $17 $20 $18 $19 You can attach more than four wired devices to a network by using a switch.a. trueb. false e ratio of current assets to current liabilities is called the ownership ratio. a. true b. false The ____________ says that retailers should offer low prices to get faster turnover and greater sales volumes by appealing to larger markets.A.Wheel of retailing theoryB.Production conceptC.Mass-merchandising conceptD.Sales conceptE.Primary industry theory What are some possible reasons top leaders fail to create succession plans? a pharmacy technicians perform all the following duties, except:a. Managing inventory and orderingb. Accepting payments and processing insurance claimsc. Verification of medicationsd. Answering phones and data entry The Japanese bureaucracy informally influences industries and firms through a practice known as:a.administrative guidance.b.negotiated regulation.c.state-business collusion.d.the postal savings system. If 67.5 mol of an ideal gas occupies 71.5 L at 47.00 C, what is the pressure of the gas? Question 14 The specific internal energy and enthalpy of an ideal gas are each functions of temperature alone, but its specific entropy depends on two independent intensive properties. Not yet answered Select one: Marked out of 2.00 O True O False P Flag question Area DissectionsI tried to figure this out so many times, its problem #6 an individual may not process stimuli that are in some way threatening, or may distort the meaning of a stimulus to make it less threatening. this type of perceptual filter is called: question 67 options: perceptual defense perceptual vigilance subliminal perception adaptation Rauch Incorporated leases a piece of equipment to Donahue Corporation on January 1, 2020. The lease agreement called for annual rental payments of $4,892 at the beginning of each year of the 4-year lease. The equipment has an economic useful life of 6 years, a fair value of $25,000, a book value of $20,000, and both parties expect a residual value of $8,250 at the end of the lease term, though this amount is not guaranteed. Rauch set the lease payments with the intent of earning a 5% return, and Donahue is aware of this rate. There is no bargain purchase option, ownership of the lease does not transfer at the end of the lease term, and the asset is not of a specialized nature.Prepare the lease amortization schedule(s) for Donahue for all 4 years of the lease. (Round answers to 0 decimal places, e.g. 5,275.)DONAHUE CORPORATIONLease Amortization ScheduleAnnuity-Due BasisDateAnnual PaymentInterest on LiabilityReduction ofLease LiabilityLease Liability1/1/20$$$$1/1/201/1/211/1/221/1/23Lease Expense ScheduleDateLease Expense(Straight-Line)Interest onLease LiabilityAmortization ofROU AssetCarrying Value ofROU Asset1/1/20$$$$12/31/2012/31/2112/31/2212/31/23 Kings Park Water Works uses water meters that measure water usage in ccf. They charge $0.18 per ccf of water. If Jack's previous meter reading was 34,765 ccf and his present water reading is 36,900 ccf, what was his water billfor the service period? if p(x) is the taylor series for f centered at 0, then p( x - 1 ) is the taylor series for f centered at 1. True or False