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Under what circumstance would the U.S. dollar and the Canadian dollar be said to have achieved purchasing power parity?The U.S. dollar and the Canadian dollar would be referred to have achieved purchasing power parity while the exchange rate reflects the comparative prices of a market basket of traded goods and services at the current exchange rate. There would be no incentive to transform U.S. dollars to Canadian dollars nor to convert Canadian dollars to U.S. dollars and purchase goods or services in the another country.
Expected volatility is a major factor that affects the value of an option. Expected volatility of an option on bond is referred to as 'expected yield volatility'. The
how to calculate the average inventory of holding
How do opportunity costs affect the capital budgeting decision-making process? Opportunity costs imitate the foregone benefits of the alternative not chosen while a capital budge
Explain the significance of the term additional funds needed . When the pro forma balance sheet is finished, total liabilities and total assets and equity will rarely match.
Q. Explain Risk Adjusted Discount Rate Method? In the risk adjusted discount rate method the future cash flow from capital projects are discount at the hazard adjusted discount
Enumerate the Internal development of any business or 'organic growth' Business grows using its own internal resources. - Reduces risk of the high cost of integrating cultur
What is rectification of errors? List and explain the stages where the errors are deducted for rectification.
Enumerate about the Turnkey operations An illustration of a turnkey business would be a franchise for example immediate brand, systems and product with exclusive territory. A t
How many types of segments in the mutual fund industry? There are two segments into the mutual fund industry: long-term funds and short-term funds. In Long-term funds bond fund
What is the difference between business risk and financial risk? Business risk considers to the uncertainty a company has regarding to its operating income (as well termed as ear
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