Million to a customer in belgium

Assignment Help Basic Computer Science
Reference no: EM131507808

Today the XYZ Corporation shipped goods valued at €1 million to a customer in Belgium. Payment is due in 90 days, and the Belgian firm will make the payment in euros. Today's spot rate is €1/$1.40. The 90-day forward rate is €1/$1.38.

a. How many dollars would XYZ receive if payment were made today?

b. If XYZ sells €1 million forward for 90 days, how much is it assured to receive 90 days from now?

c. If XYZ had not hedged in the forward market and the spot rate 90 days from now is €1/$1.39, how much would XYZ receive (in U.S. dollars)?

d. If the U.S. dollar were to weaken in the 90 days and XYZ did not hedge, would it benefit or lose?

Reference no: EM131507808

Questions Cloud

Explain the procedure of aging accounts receivable : Differentiate between city ledger accounts receivable and house accounts receivable in a hotel.
How about the flashlight beam : Based on your readings and ruminations, do these three people see the tennis ball go at the same or different speeds? How about the flashlight beam?
Price floor or a production quota : This market will be clear when the Japanese government imposes a price floor or a production quota.
Prepare a report analysing the issues in the case : Apply the knowledge and skills of the subject to real world organisations. This assessment relates to Learning Outcomes.
Million to a customer in belgium : Today the XYZ Corporation shipped goods valued at €1 million to a customer in Belgium. Payment is due in 90 days, and the Belgian firm will make the payment.
Explain how a lockbox is used to minimize funds : Discuss the use of marketable securities with reference to temporary surplus cash.
What does it all mean by thomas nagel : Write an essay about the book What Does It All Mean by Thomas Nagel. NOT A BOOK REVIEW - essay opinon based argumentive essay
How might innovation have boosted productivity : List one innovation since 1990. How might it have boosted productivity? If you could invent something new to help boost productivity, what would it be?
Discuss all the ethics related to the given situation : In reviewing actual cash flows for the past three months and the cash budgets for the next three, a hotel manager notices that the cash sales revenue.

Reviews

Write a Review

Basic Computer Science Questions & Answers

  Identifies the cost of computer

identifies the cost of computer components to configure a computer system (including all peripheral devices where needed) for use in one of the following four situations:

  Input devices

Compare how the gestures data is generated and represented for interpretation in each of the following input devices. In your comparison, consider the data formats (radio waves, electrical signal, sound, etc.), device drivers, operating systems suppo..

  Cores on computer systems

Assignment : Cores on Computer Systems:  Differentiate between multiprocessor systems and many-core systems in terms of power efficiency, cost benefit analysis, instructions processing efficiency, and packaging form factors.

  Prepare an annual budget in an excel spreadsheet

Prepare working solutions in Excel that will manage the annual budget

  Write a research paper in relation to a software design

Research paper in relation to a Software Design related topic

  Describe the forest, domain, ou, and trust configuration

Describe the forest, domain, OU, and trust configuration for Bluesky. Include a chart or diagram of the current configuration. Currently Bluesky has a single domain and default OU structure.

  Construct a truth table for the boolean expression

Construct a truth table for the Boolean expressions ABC + A'B'C' ABC + AB'C' + A'B'C' A(BC' + B'C)

  Evaluate the cost of materials

Evaluate the cost of materials

  The marie simulator

Depending on how comfortable you are with using the MARIE simulator after reading

  What is the main advantage of using master pages

What is the main advantage of using master pages. Explain the purpose and advantage of using styles.

  Describe the three fundamental models of distributed systems

Explain the two approaches to packet delivery by the network layer in Distributed Systems. Describe the three fundamental models of Distributed Systems

  Distinguish between caching and buffering

Distinguish between caching and buffering The failure model defines the ways in which failure may occur in order to provide an understanding of the effects of failure. Give one type of failure with a brief description of the failure

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd