Toyota's Pass-Through.  Assume that the export price of a Toyota Corolla from​ Osaka, Japan, is ¥2,150,000. The exchange rate is ¥87.58​/$. The forecast rate of inflation in the United States is 2.2​% per year and in Japan it is 0.0​% per year. Use this data to answer the following questions on exchange rate​ pass-through.

a. What was the export price for the Corolla at the beginning of the year expressed in U.S.​ dollars?

b. Assuming purchasing power parity​ holds, what should be the exchange rate at the end of the​ year?

c. Assuming​ 100% exchange rate​ pass-through, what will be the dollar price of a Corolla at the end of the​ year?

d. Assuming​ 75% exchange rate​ pass-through, what will be the dollar price of a Corolla at the end of the​ year?

Suppose you are considering applying for a business loan. What are some of the features you would need to consider and how would you compare them using Microsoft Excel?

1. The following table contains closing monthly stock prices for Oracle Corporation (ORCL), Microsoft Corporation (MSFT), and NVidia (NVDA) for the first half of 2017.

1. Create a formula to calculate the monthly rate of return during the first semester of 2017 and for each company. Format the results as percentages with two decimal places.
2. Calculate the total return for the entire holding period, the compound average monthly rate of return, the average monthly rate of return using the AVERAGE function, and the average monthly rate of return using the GEOMEAN function.

Given the information in the preceding balance sheet—and assuming that Cold Goose Metal Works Inc. has 50 million shares of common stock outstanding—read each of the following statements, then identify the selection that best interprets the information conveyed by the balance sheet.

Statement #1: Cold Goose’s net collection of inventory items increased by more than the firm's sales between Years 1 and 2.

This statement is     , because:

The accruals balance decreased by $117 million between Years 1 and 2

Total inventories of raw materials, work-in-process, and final goods increased from $1,980 million to $2,475 million between Year 1 and Year 2

Total inventories of raw materials, work-in-process, and final goods decreased by $495 million between Year 1 and Year 2

Statement #2: In Year 2, Cold Goose Metal Works Inc. was profitable.

This statement is     , because:

Cold Goose’s total assets increased between Years 1 and 2

The cash and equivalents account increased between Years 1 and 2

Cold Goose’s retained earnings account increased between the end of Years 1 and 2

Statement #3: One way to interpret the change in Cold Goose’s accounts receivable balance from Year 1 to Year 2 is that more customers purchased new items on credit rather than paying off existing credit accounts.

This statement is     , because:

The change from $1,980 million to $2,475 million reflects a net accumulation of new credit sales

The $169 increase in accounts receivable means either that Year 1’s existing credit customers are not paying off their owed balances and new or existing customers are making additional purchases on credit, or that Year 1’s credit customers have repaid their owed balances and Year 2 credit sales have exceeded Year 1’s credit sales

The decrease from $844 million to $675 million implies a net decrease in accounts receivable and that more customers are paying off their receivables balances than are buying on credit

Based on your understanding of the different items reported in the balance sheet and the information they provide, which statement regarding Cold Goose Metal Works Inc.’s balance sheet is consistent with U.S. Generally Accepted Accounting Principles (GAAP)?

The company’s assets should be listed from those carrying the largest balance to those with the smallest balance.

The company’s assets should be listed in alphabetical order.

The company’s assets should be listed in the order in which they are to be converted into cash.

4 methods of improving margins and investment return

My Bloomberg terminal shows the simple interest rates
          One year:        1.430%
          Two year:        3.788%
          Three year:     4.926%
    Four year:       5.720%
    Five year:        5.967%
If the yield curve is formed solely from expectations then the market expects the one year rate one year from now to be

• : 6.201 %
• the one year rate two years from now to be 7.240 %
• the one year rate three years from now to be 8.138 %
• and the one year rate four years from now to be 6.961%

Please tell me how to get to the bolded answers. Thank you so much!

1. Suppose a foundation invested 1000 dollars in the stock market in 1870. Accounting for inflation, what would have been the dollar value of this investment in September 2019?

A. 2850 dollars. B. 7660 dollars. C. 19,500 dollars. D. 19,500,000 dollars.

2. Which of the following is an arbitrage opportunity?

A. Two stocks, one has expected return of 5%, the other 4%. B. The bank offers you a loan at 5% interest and a savings account that pays 4% interest. C. The bank offers you a loan at 4% interest and a savings account that pays 5% interest. D. For every $1 you deposit today, the bank offers to pay you $1 in a year if the economy is bad and $2 in a year if the economy is good.

3. Which of the following offers would a risk-averse investor find most valuable?

A. A coin toss that pays $1.50 on heads and $-0.50 on tails. B. A financial instrument that pays $0.75 if the investor still has a job tomorrow and $1.25 if the investor is unemployed. There is a 50% chance that the investor loses their job tomorrow. C. A coin toss that pays $2 on heads and $-2 on tails. D. A coin toss that pays $1 on heads and $-1 on tails.

4. Which of the following is not a real asset?

A. Human capital accumulated taking courses at NYU Stern. B. NYU classes website. C. A dollar bill. D. A gold coin.

Given the following information about Elkridge Sporting Goods, Inc., construct a balance sheet for June 30, 2017. On that date the firm had cash and marketable securities and accounts receivable totaling 28,764, inventory of 162,391, net fixed assets of 331,346, and other assets of 15,419. It had accounts payables and notes payable totaling 169,257, long-term debt of 177,202, and common stock of 112,991. How much retained earnings did the firm have? Round to whole numbers

The current spot price of Copper is $2.7445 per pound. The storage costs are $0.05 per pound per year payable monthly. Physical holding of copper now can yield $0.13 per pound per year which is achievable monthly. The price of a 9-month futures contract of copper is currently listed as 2.7685. Assume that interest rates are 10% per annum and monthly compounded.

a) If the cost-of carry relationship is held under no-arbitrage conditions, what should the 9-month futures price be (4 d.p.)? b) Is the listed 9-month futures price provide arbitrage opportunity (assume transaction costs are negligible)? Justify. c) If the listed futures price is correct, what would be the underlying annual yield.

b) Is the listed 9-month futures price provide arbitrage opportunity (assume transaction costs are negligible)? Justify.

c) If the listed futures price is correct, what would be the underlying annual yield.

A debt is said to be selling at par, when the _____ of the debt is equal to the _____.​

Select one:

a. ​face value; premium payment on the exercise of a call provision

b. ​market value; face value of the debt

c. ​principal value; discount on the issue of a zero coupon bond

d. ​maturity value; par value of the debt

e. ​par value; discounted value of the interest payments

A sinking fund call:​

Select one:

a. ​does not require the company to pay a small percentage of the issue every year.

b. ​requires the company to pay a penalty to investors.

c. ​does not require the company to pay a call premium.

d. ​requires the company to redeem bonds at market price.

e. ​requires the company to claim back all the interest payments from the bondholders.

A share of common stock has a current price of $82.50 and is expected to grow at a constant rate of 10 percent. If you require a 14 percent rate of return, what is the current dividend on this stock?​

Select one:

a. ​$2.81

b. ​$4.29

c. ​$6.13

d. ​$4.75

e. ​$3.00

A shareholder can transfer the right to vote to a second party, by means of an instrument known as _____.​

Select one:

a. ​allotment

b. ​rationing

c. ​consortium

d. ​arbitrage

e. ​proxy