Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Mr. James K. Silber, an avid international investor, just sold a share of a French company, for FF50. The share was bought for FF42 a year ago. The exchange rate is FF5.80 each U.S. dollar now and was FF6.65 per dollar a year ago. Mr. Silber received FF4 since a cash dividend instantly before the share was sold. Calculate the rate of return on this investment in terms of U.S. dollars.
Answer: Mr. Silber should have paid $6.32 (=42/6.65) for a share of Rhone-Poulenc a year ago. While the share was liquidated, he must have received $9.31 (=54/5.8). Hence, the rate of return in dollar terms is:
R($) = [(9.31-6.32)/6.32]x100 = 47.31%.
Would exchange rate changes all time increase the risk of foreign investment? Discuss the condition within which exchange rate changes may actually decrease the risk of foreign inv
Issuer's Considerations Cash Flows: Issuers may consider the period for which the funds are required and try to spread the borrowings in a way to minimize the costs. Generally,
Future V alue The value of an investment is based on the rate of interest paid at set time periods and at some point in the future. Future values incorporate both the i
You are required to choose a company for analysis. This company should be quoted on one of the principal international exchanges. It may be your own company. You should then do
At entity level - Inherent risk Integrity of management. Management's experience and knowledge Over reliance on key customers. Unusual pressures on management
Global Scenario The Hedge Fund industry has captured over US $ 2 trillion in assets globally by the end of year 2006. According to an investor survey revealed for the Hedge Fun
Issuing Procedure Treasury bills are sold using the auction procedure. The Treasury entertains both competitive and non-competitive tenders for T-Bills. Government securities f
how would you judge the potential
It is true that company monetary statements will often consist of narrative information about staff as a key resource. However, under accounting regulation this resource is not sho
Types of Traders in Future and Option Markets: Hedgers Hedgers use the futures and options market principally for risk management purposes because of their exposure to pri
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd