Ganado — the same U. S.-based company as discussed in this chapter, has concluded a second larger sale of telecommunications equipment to Regency (U. K.). Total payment of £3,000,000 is due in 90 days. Maria Gonzalez has also learned that Ganado will only be able to borrow in the United Kingdom at 14% per annum (due to credit concerns of the British banks). Given the following exchange rates and interest rates, what transaction exposure hedge is now in Ganado’s best interest? AssumptionValues
90-day A/R in pounds3,000,000 pounds
Spot rate, US$ per pound ($/pounds)$1.7620
90-day forward rate, US$ per pound ($/pounds)
1.7550
3-month U. S dollar investment rate6%
3-month U. S dollar borrowing rate8%
3-month U. K investment interest rate8%
3-month U, K borrowing interest rate14%
Put option on the British pound:Stike rates, US$/pound ($/pounds)
Strike Rate ($/pounds)$1.75
Put option premium1.5%
Strike rate ($/pounds)$1.71
Put option premium1%
Trident's WACC12%
Maria Gonzalez's expected spot rate in 90-day US$ per pound ($/pound)$1.785

Which is the correct expansion of the term internet? a. internetwork b. institutional network c. instructional network d. international network

Fanning company is considering the addition of a new product to its cosmetics line. the company has three distinctly different options: a skin cream, a bath oil, or a hair coloring gel. relevant information and budgeted annual income statements for each of the products follow. skin cream bath oil color gel budgeted sales in units (a) 110,000 190,000 70,000 expected sales price (b) $8 $4 $11 variable costs per unit (c) $2 $2 $7 income statements sales revenue (a × b) $880,000 $760,000 $770,000 variable costs (a × c) (220,000) (380,000) (490,000) contribution margin 660,000 380,000 280,000 fixed costs (432,000) (240,000) (76,000) net income $228,000 $140,000 $204,000 required: (a) determine the margin of safety as a percentage for each product. (b) prepare revised income statements for each product, assuming a 20 percent increase in the budgeted sales volume. (c) for each product, determine the percentage change in net income that results from the 20 percent increase in sales. (d) assuming that management is pessimistic and risk averse, which product should the company add to its cosmetics line? (e) assuming that management is optimistic and risk aggressive, which product should the company add to its cosmetics line?

Each row in a database is a set of unique information called a(n) table. record. object. field.