Locking a cell so that others cannot alter its contents is known as ____

On August 1, Ling-Harvey Corporation (a U.S.-based importer) placed an order to purchase merchandise from a foreign supplier at

ryzh [129]

Answer:

Detailed workings are in the explanations.

Explanation:

August 1

On August 1, Ling Harvey entered into a forward contract to purchase 400000 ringgits in 3 months at a forward rate of $0.60.

If Ling Harvey has to pay 400000 ringgits now, total outflow would be $ 240000 (400000*0.60) and in forward contract it has to pay $ 240000 also (400000*0.60), so ling harvey has not incurred any loss

So, there is a firm commitment to pay $ 240000 on October, 31

For entering into a forward contract, there will be no entry.

On September, 30

Forward contract rate has increased to 0.66 from 0.60 (august, 1), so there is a increase in the fair value of the Forward Contract. Earlier its value was $240,000 on Aug,1 but now its value is $ 264,000, so there is a increase in fair value by $24,000

Since this $24000 will be realized on Oct, 31, we will book it today at present value

Present value = $24000*0.9901= $23,762.4

Journal entry would be as follows:

Debit: Forward Contract a/c $23,762.4

Credit: Gain on Forward Contract $23,762.4

Now, the spot rate determines the fair value of Commitment, so there is an increase in fair value of firm commitment by (0.63 - 0.60) * $400,000 =$12,000.

0.63 is the spot rate on September, 30

Since our Firm commitment value increased by $12,000, we need to book it at present value .

Present Value = $12,000*0.9901=$11,881.2

Journal Entry is as follows:

Debit: Loss on Firm Commitment a/c $11,881.2

Credit: Firm Commitment $11,881.2

So its effect on Net income is as follows:

Debit: Gain on Forward Contract a/c $23,762.4

Credit: Loss on Firm Commitment $11,881.2

Credit: Retained Earnings $11,881.2

On October 31

Today spot rate is 0.68, so the value of the forward contract when compared to its value on Aug 1

= (0.68 - 0.60) *$400,000

= $32,000

So there is an increase in Forward Contract Value by $32,000, since we have already booked $23,762.4, we will book the additional value $82,37.6 as follows:

Debit: Forward Contract a/c $8,237.6

Credit: Gain on Forward Contact $8,237.6

So, the Firm Commitment value has also increased from 0.60(Aug 1) to 0.68

Increase in value = (0.68-0.60) *$400,000 = $32,000

As we have already booked a liability of $11,881.2, we will be book the additional increase in value of $20,118.8 as follows

Debit: Loss on Firm Commitment a/c $20,118.8

Credit: Firm Commitment $20,118.8

So, its effect on Net Income is as follows

Debit: Gain on Forward Contract a/c $8,237.6

Debit: Retained Earnings a/c $11,881.2

Credit: Loss on Firm Commitment $20,118.8

So the total effect on Net income is 0, as on Sept 30 retained earnings has been credited by $11881.2 and on Oct 31, it has been debited by $11881.2... This is due to as there was no difference between spot rate & forward rate on August 1

As on 31st October, there is a debit balance of $32,000 in Forward Contract & credit balance of $32000 in Firm commitment.

Entry for Goods received & payment to foreign supplier is as follows

Debit: Inventory (At spot rate on Aug 1) $240,000

Debit: Firm Commitment (offset) $32,000

Credit: Forward contract (offset) $32,000

Credit: Cash (At forward rate on Aug 1) $240,000

The net cash outflow to foreign supplier is $240,000.

7 0

2 years ago

You would like to know whether silicon will float in mercury and you know that can determine this based on their densities. unfo

kogti [31]

The answer is 1000

Density formula is weight/volume, so the unit should be gram/centimeter^3. To convert gram/centimeter^3 into kilogram/meter^3, the <span>conversion factors would be:
</span>(gram/centimeter^3) / (kilogram/meter^3)
= (gram/kilogram) /(centimeter^3/meter^3)
<span>= (gram/ 1000gram) / (centimeter^3/ 100^3 centimeter^3)
= (1/1000) / (1 / 100^3)
= 1,000,000/1000= 1,000</span>

6 0

1 year ago

Read 2 more answers

Curtis purchased stock with an initial share price of $140, and sold it when the share price was $119. While he owned the stock,

Ira Lisetskai [31]

Answer:

Curtis

The total percentage return on the investment is:

= -7.86%.

Explanation:

a) Data and Calculations:

Initial share price at which the stock was purchased = $140

The selling share price = $119

Dividends earned during the stock ownership (holding period) = $10

Total returns, including proceeds from the sales = $129 ($119 + $10)

Total returns from holding the stock until sold

= Total returns + sales proceeds minus Initial purchase cost

= -$11 ($129 - $140)

Total percentage return on the investment = $11/$140 * 100

= 7.857

= 7.86%

6 0

1 year ago

Show that if the contribution to profit for trains is between $1.50 and $3, the current basis remains optimal. If the contributi

Dmitriy789 [7]

Answer:

210

Explanation:

Let us consider that x is the number of soldiers produced each week and y is number of trains produced each week.

Also, weekly revenues and costs can be expressed in terms of the decision variables x and y.

Then,

Hence the profit which we want to maximize is given by,

Now the constraints are given as,

Finishing Constraint:

Each week, no more than 100 hours of finishing time may be used.

Carpentry Constraint:

Each week, no more than 80 hours of carpentry time may be used.

Demand Constraint:

Because of limited demand, at most 40 soldiers should be produced each week.

Combining the sign restrictions and with the objective function and constraints,and yield the following optimization model:

Such that,

First convert the given inequalities into equalities:

From equation (1):

If x=0 in equation (1) then (0,100)

If y=0 in equation (1) then (50,0)

From equation (2):

If x=0 in equation (2) then (0,80)

If y=0 in equation (2) then (80,0)

From equation (3):

Equation (3) is the line passing through the point x=40.

Therefore, the given LPP has a feasible solution first image

The optimum solution for the given LPP is obtained as follows in the second image

The optimal solution to this problem is,

And the optimum values are .

Let c be the contribution to profit by each train. We need to find the values of c for which the current, basis remain optimal. Currently c is 2, and each iso-profit line has the form

3x + 2y = constant

y = 3x/2 +constant/ 2

And so, each iso-profit line has a slope of .

From the graph we can see that if a change in c causes the isoprofit lines to be flatter than the carpentry constraint, then the optimal solution will change from the current optimal solution to a new optimal solution, If the profit for each train is c, the slope of each isoprofit line will be.

-3/c

Because the slope of the carpentry constraint is –1, the isoprofit lines will be flatter than the carpentry constraint.

If,

-3/c<-1

c >3

and the current basis will no longer be optimal. The new optimal solution will be point A of the graph.

If the is oprofit lines are steeper than the finishing constraint, then the optimal solution will change from point B to point C. The slope of the finishing constraint is –2.

If,

-3/c < -2 or

C < 1.5

Then the current basis is no longer optimal and point C,(40,20), will be optimal. Hence when the contribution to the profit for trains is between $1.50 and $3, the current basis remains optimal.

Again, consider the contribution to the profit for trains is $2.50, then the decision variables remain the same since the contribution to the profit for trains is between $1.50 and $3. And the optimal solution is given by,

z = 3× (20) + 2.5 × (60)

= 60 + 150

= 210

5 0

1 year ago

Classy Clay has extremely creative employees who, in the opinion of the organization, keep the company ahead of the competition.

Art [367]

Answer:

strength

Explanation:

When you are performing a SWOT analysis, you must analyze both internal and external factors. Internal factors include strengths and weaknesses, while external factors include opportunities and threats:

strengths: analyses what does your company do well and distinguish it from the competition.
weaknesses: analyses what are your company's weak spots and what does your competition do better than you.
opportunities: new situations that can favor your company.
threats: situations that can negatively affect your company.

6 0

2 years ago

Locking a cell so that others cannot alter its contents is known as _____.