Reference no: EM13718877
Question 1: The United States has experienced continuous current account deficits since the early 1980s. What do you think are the main causes for the deficits? What would be the consequences of continuous U.S. current account deficits?
Explain how each of the following transactions will be classified and recorded in the debit and credit of the U.S. balance of payments:
a. A Japanese insurance company purchases U.S. Treasury bonds and pays out of its bank account kept in New York City.
b. A U.S. citizen consumes a meal at a restaurant in Paris and pays with her American Express card.
c. An Indian immigrant living in Los Angeles sends a check drawn on his LA bank account as a gift to his parents living in Mumbai.
d. A U.S. computer programmer is hired by a British company for consulting and gets paid from the U.S. bank account maintained by the British company.
Question 2:
How are translation gains and losses handled differently according to the current rate method in comparison to the other three methods, that is, the current/ noncurrent method, the monetary/nonmonetary method, and the temporal method?
It is, generally, not possible to completely eliminate both translation 'exposure and transaction exposure. In some cases, the elimination of one exposure will also eliminate the other. But in other cases, the elimination of one exposure actually creates the other.
Discuss which exposure might be viewed as the most important to effectively manage, if a conflict between controlling both arises. Also, discuss and critique the common methods for controlling translation exposure.
Suppose that your firm is operating in a segmented capital market. What actions would you recommend to mitigate the negative effects?
Explain why and how a firm's cost of capital may decrease when the firm's stock is cross-listed on foreign stock exchanges.
Discuss how the cost of capital is determined in segmented versus integrated capital markets.
Explain the geographical areas
: If you were a geographer creating the political map of a new state called Kurdishstan where would you draw its borders? Specify the geographical areas, using complete sentences.
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Explain how research study use to enhance its product design
: How could a hospital use this study to enhance its product design and to market its inpatient surgery services to patients, physicians, and payers?
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Simulate 16-qam system without grey coding
: Simulate and compare the BER of a 16-PSK system and a 16-QAM system without Grey coding and Eb/N0=0,2,4,6,8,10 dB. "
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Describe the quantum mechanical rigid rotor model
: For the quantum mechanical Rigid Rotor model considers the following: Are the motions or position of the particle in the ? direction dependent upon the motion in the ? direction?
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How a firms cost of capital may decrease
: Discuss which exposure might be viewed as the most important to effectively manage, if a conflict between controlling both arises. Also, discuss and critique the common methods for controlling translation exposure - Explain why and how a firm's co..
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Describe the two different amino acids
: Give examples of different bonds that are broken in two different amino acids include the name of the enzyme in which PLP functions.
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Describe how the velocity of sound varies by location
: Describe how the velocity of sound varies by location and how this affects the direction of the waves. Give examples of practical use of these channels.
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Explain the three types of unconformities
: Name the 3 types of unconformities and describe a sequence of events that may produce each. Be specific and include rock types and processes that each includes.
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Define the challenges of nanomanipulation
: What are the possible methods to characterize the mechanical properties of an individual nanotube or nanowire? How to correlate the mechanical properties and electrical ones of an individual nanotube or nanowire?
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