Business, 11.07.2019 23:20 bee8367

Gamma corporation has incurred large losses over the last ten years due to exchange rate fluctuations of the egyptian pound (egp), even though the company has used a market-based forecast based on the forward rate. consequently, management believes its forecasts to be biased. the following regression model was estimated to determine if the forecasts over the last ten years were biased: st = a0 + a1ft - 1 + -t, where st is the spot rate of the pound in year t and ft - 1 is the forward rate of the pound in year t - 1. regression results reveal coefficients of a0 = 0 and a1 = 1.3. thus, gamma has reason to believe that its past forecasts have the realized spot rate. a. overestimatedb. underestimatedc. correctly estimatedd. none of the above

Answers: 3

Show answers

Other questions on the subject: Business

Business, 21.06.2019 13:00, jdjxbxnshd2080

At which stage of marketing strategy would the marketing team address the question, "should we engage in these practices? "

Answers: 2

continue

Business, 21.06.2019 22:50, chloespalding

Assume that the governance committee states that all projects costing more than $70,000 must be reviewed and approved by the chief information officer and the it senior leadership team (slt). at this point, the cio has the responsibility to ensure that management processes observe the governance rules. for example, the project team might present the proposed project in an slt meeting for a vote of approval. what does this scenario illustrate about organizational structure?

Answers: 2

continue

Business, 22.06.2019 14:00, mrfishyyyy

Your dormitory, griffingate, has appointed you central banker of its economy, which deals in the currency of wizcoins. assume that the velocity of wizcoins in griffingate is constant at 10,000 transactions per year. right now, real gdp is 1,000 wizcoins, and there are 2,000 wizcoins in existence.

Answers: 2

continue

Business, 22.06.2019 17:40, lukecoupland4401

Solomon chemical company makes three products, b7, k6, and x9, which are joint products from the same materials. in a standard batch of 320,000 pounds of raw materials, the company generates 70,000 pounds of b7, 150,000 pounds of k6, and 100,000 pounds of x9. a standard batch costs $3,840,000 to produce. the sales prices per pound are $10, $14, and $20 for b7, k6, and x9, respectively. (a) allocate the joint product cost among the three final products using weight as the allocation base. (b) allocate the joint product cost among the three final products using market value as the allocation base. (c) allocate the joint product cost among the three final products using weight as the allocation base.

Answers: 3

continue

You know the right answer?

Gamma corporation has incurred large losses over the last ten years due to exchange rate fluctuation...