What was the percentage change in the USD

Assignment Help Financial Management
Reference no: EM131448615

A U.S. company purchases (imports) goods from a Japanese company for 10,000,000 JPY, with payment due in 30 days. The current exchange rate is 110 JPY/USD.

What is the amount of the payable that the U.S. company records (in USD)?

Assume that the U.S. company waits 30 days to pay. In 30 days, the exchange rate is 100 JPY/USD. Which currency depreciated?

How much (in USD) does the U.S. company pay?

What is the difference between the amount of the payable that the U.S. company recorded and the amount it paid? Is this a gain or loss?

What was the percentage change in the USD?

What was the percentage change in the JPY?

Reference no: EM131448615

Questions Cloud

Compare the required return on these stocks : Compare required return on these stocks calculated using CAPM against their historical return over last 52 weeks. Is there difference between these returns
Money will investment banking syndicates earn on the sale : How much money will the investment banking syndicates earn on the sale?
Compare of fixed versus floating exchange rates : Compare (strengths and weaknesses) of fixed versus floating exchange rates? Explain the impossible trinity?
Agrees to repay the debt in equal installments : A man borrows Rs. 1500 and agrees to repay the debt in 5 equal installments with 6% interest, compounded annually
What was the percentage change in the USD : What is the amount of the payable that the U.S. company records (in USD)? What was the percentage change in the USD?
What is its firms debt-equity ratio : What is its firm's debt-equity ratio? What is the present value of your windfall if the appropriate discount rate is 10 percent?
What is the change in net working capital : what is the present value of this liability? What is the change in net working capital?
What is the company cost of equity capital : What is the company’s cost of equity capital? What would the cost of equity be if the debt-equity ratio were 2?
What is the value of the total assets : What is the operating cash flow? What is the value of the total assets?

Reviews

Write a Review

Financial Management Questions & Answers

  What is the firm interest coverage ratio

A firm has a profit margin of 15% on sales of $20,000,000. If the firm has total assets of $25,000,000, a total debt-equity ratio of 25% and its stock is selling at $36. The total asset turnover ratio 80%? What is the ROE? Then suppose the firm has t..

  What is addition to retained earnings

PDQ Corp. has sales of $3,000,000; the firm’s cost of goods sold is $1,425,000; and its total operating expenses are $700,000. The firm’s interest expense is $230,000, and the corporate tax rate is 40%. The firm paid dividends to preferred stockholde..

  Expected two-year interest rate three years

Consider the following $1,000 par value zero-coupon bonds: The expected two-year interest rate three years from now should be __________

  What must the coupon rate be on the companys bonds

Ghost Rider Corporation has bonds on the market with 10 years to maturity, a YTM of 7.5 percent, and a current price of $938. What must the coupon rate be on the company's bonds?

  List and describe the different channels

List and describe the different channels that banks use to deliver banking services. For each, describe the characteristics of the customers who will likely be active users of services in that channel.

  Calculate skys income tax refund for year three

Sky Company reports a pretax operating loss of $50,000 in Year 3 for both financial reporting and income tax purposes. It's reported pretax financial income and taxable income for the previous 2 years haddock been: Year 1: $25,000 (tax rate 30%) and ..

  Pricing stock issues in an ipo

Zang Industries has hired the investment banking firm of Eric, Schwartz, & Mann (ESM) to help it go public. Zang and ESM agree that Zang's current value of equity is $61 million. Zang currently has 3 million shares outstanding and will issue 1 millio..

  Opened a mutual fund account

Albert opened a mutual fund account with $2,500 and then deposited $500 at the end of the next three months. The initial price of a share of the mutual fund was $30, and the ending prices were $20, $35 and $30. How many shares did Albert have after t..

  What is net income for the period

If a company has cash flow from operations of $3 million, depreciation and amortization of $2 million, and its working capital accounts did not change from the previous period, what its net income for this period ?

  Determine the future value of this annuity

Assume you were planning to invest $5,000 each year for 6 years and Warren 10% per year determine the future value of this annuity if your first 5000 is invested at the end of the first year

  Calculate the annualized percent return of an investment

Calculate the annualized percent return of an investment using the following information:

  Expected long-run growth rate for this stock

A share of common stock has just paid a dividend of $3.00. If the expected long-run growth rate for this stock is 5 percent, and if investors require an 11 percent rate of return, what is the price of the stock? Show work

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