User Account

All Pages

What is the forward price you negotiated at the beginning

Assignment Help Financial Accounting
Reference no: EM132873341

Question 1: You entered into a long forward contract some time ago to buy an asset, and the value of the forward contract today is $6. It is going to mature after three more months. Today's spot price is $76.19, and the continuously compounded interest rate is 10% per annum. What is the forward price you negotiated at the beginning of the contract?

a. $84.27
b. $85.33
c. $87.84
d. $86.15
e. $88.96

 

Reference no: EM132873341

Questions Cloud

Calculate the ending inventory of chocolate mix in pounds : Calculate the ending inventory of chocolate mix in pounds for December of the prior year and for January and February
Prepare direct materials purchases budget for chocolate mix : The cost of one box is $0.10. Prepare a direct materials purchases budget for chocolate mix for the months of January and February
Calculate basic earnings per share of common stock for year : Ringmeup Inc. had net income of $101,000 for the year ended December. Calculate basic earnings per share of common stock for the year ended December 31, 2019.
Calculate the ending inventory of boxes for December : Tulum Inc. makes a Mexican chocolate mix sold in 4-pound boxes. Calculate the ending inventory of boxes for December
What is the forward price you negotiated at the beginning : The continuously compounded interest rate is 10% per annum. What is the forward price you negotiated at the beginning of the contract?
How does the adjusting entry recorded at december : Wiil Company made an adjusting entry to account, How does the adjusting entry recorded at December 31 by Wiil Company affect the elements of the balance sheet?
Prepare a direct materials purchases budget for boxes : The cost of 1 pound of chocolate mix is $1.50. The cost of one box is $0.10. Prepare a direct materials purchases budget for boxes
What the pension expense to be reported is : What the pension expense to be reported for 2020 is? Presented is pension information related to Banana Inc. for the calendar year 2020.
Overall impression of assigned youtube video : What is your overall impression of this assigned YouTube video? You are free to have any opinion that you please; simply be sure to support your impression

Reviews

Write a Review

Financial Accounting Questions & Answers

  Prepare the necessary calculations and journal entries

Bonanza Mining Ltd conducted CSG operations in Tara, Prepare the necessary calculations and journal entries for 30 June 2020, 30 June 2021 and 30 June 2022.

  Is a secured loan and what kind of loan

Is this a secured loan? What kind of loan? Explain. A wealthy entrepreneur with excellent credit reputation co-signed the promotion of Myrtle

  Compute the cash payback period for diamond company

Compute the cash payback period for Diamond Company. Diamond Company is considering investing in new equipment that will cost $600,000

  Calculate the amount of net income

ABC Company began operations in June, 2017 by selling common stock to owners in exchange for $70,000 cash. During 2017, ABC Company entered into the following transactions: On June 23, ABC Company purchased inventory for $40,000 cash. Calculate the a..

  How the capital markets authority can ensure faster growth

How the Capital Markets Authority can ensure faster growth and development of the Nairobi Stock Exchange or the Stock Exchange in your country.

  Estimate the futures price

The six-month risk-free rate is 4% per annum and the dividend yield over the next six months is 2% per annum. Estimate the futures price

  Prepare journal entries to record peru

Prepare journal entries to record Peru's 2020 and 2021 summarized transactions and the adjusting entries to record bad debt expense at the end of each year.

  Write clearly and concisely about financial accounting

Write clearly and concisely about financial accounting and reporting using proper writing mechanics.

  Find where should invest to maximize the return

The one-year forward exchange rate is €0.75 per dollar. If you do not want to bear any exchange risk, where should you invest to maximize the return?

  Determine the gain or loss on bonds retirement

Determine the gain/loss on bonds retirement and prepare journal entries to record the retirement. Include the unamortized bond discount

  Should believe an accounting change is necessary

Should you believe an accounting change is necessary, standard journal entry to record the effect of change in tax rate.Assume that by 1 December 2019

  Accounts would appear on a budgeted balance sheet

Which of the following accounts would appear on a budgeted balance sheet?

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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