The general relationship between spot and forward exchange rates is specified by a concept called interest rate parity. it specifies that investors should expect to earn same return in all countries after adjusting for risk. the relationship is expressed in the following equation: both the forward and spot rates are expressed in terms of the amount of home currency received per unit of foreign currency. your overall return will be higher than the investment's stated return if the currency in which your investment is denominated appreciates relative to your home currency. on the other hand, your overall return will be lower if the foreign currency you receive -select-decreases in value. if this relationship doesn't hold, currency traders will buy and sell currencies engaging in arbitrage until the relationship does hold. quantitative problem: assume that interest rate parity holds. in the spot market 1 japanese yen = $0.005, while in the 180-day forward market 1 japanese yen = $0.0052. 180-day risk-free securities yield 1.35% in japan. what is the yield on 180-day risk-free securities in the united states? round your answer to 2 decimal places. do not round intermediate calculations. %.

Ashop owner uses a reorder point approach to restocking a certain raw material. lead time is six days. usage of the material during lead time is normally distributed with a mean of 42 pounds and a standard deviation of four pounds. when should the raw material be reordered if the acceptable risk of a stockout is 3 percent?

Advertisers are usually very conscious of their audience. choose an issue of a popular magazine such as time, sports illustrated, vanity fair, rolling stone, or the like. from that issue select three advertisements to analyze. try to determine the audience being appealed to in each advertisement and analyze the appeals used to persuade buyers. how might the appeals differ is the ads were designed to persuade a different audience.

Swathmore clothing corporation grants its customers 30 days' credit. the company uses the allowance method for its uncollectible accounts receivable. during the year, a monthly bad debt accrual is made by multiplying 3% times the amount of credit sales for the month. at the fiscal year-end of december 31, an aging of accounts receivable schedule is prepared and the allowance for uncollectible accounts is adjusted accordingly. at the end of 2012, accounts receivable were dollar 586.000 and the allowance account had a credit balance of dollar 50,000. accounts receivable activity for 2013 was as follows: the company's controller prepared the following aging summary of year-end accounts receivable: prepare a summary journal entry to record the monthly bad debt accrual and the write-offs during the year. (if no entry is required for a particular event, select "no journal entry required" in the first account field.) prepare the necessary year-end adjusting entry for bad debt expense. (if no entry is required for an event, select "no journal entry required" in the first account field.) what is total bad debt expense for 2013? calculate the amount of accounts receivable that would appear in the 2013 balance sheet?