A"three against nine" fra has an agreement rate of 4.75 percent. you believe six-month libor in three months will be 5.125 percent. you decide to take a speculative position in a fra with a $1,000,000 notional value. there are 183 days in the fra period. determine whether you should buy or sell the fra and what your expected profit will be if your forecast is correct about the sixmonth libor rate.

Suppose the number of firms you compete with has recently increased. you estimated that as a result of the increased competition, the demand elasticity has increased from –2 to –3 (i.e., you face more elastic demand). you are currently charging $10 for your product. what is the price that you should charge if demand elasticity is -3?

Nichols inc. manufactures remote controls. currently the company uses a plantminuswide rate for allocating manufacturing overhead. the plant manager is considering switchingminusover to abc costing system and has asked the accounting department to identify the primary production activities and their cost drivers which are as follows: activities cost driver allocation rate material handling number of parts $5 per part assembly labor hours $20 per hour inspection time at inspection station $10 per minute the current traditional cost method allocates overhead based on direct manufacturing labor hours using a rate of $20 per labor hour. what are the indirect manufacturing costs per remote control assuming an method is used and a batch of 10 remote controls are produced? the batch requires 100 parts, 5 direct manufacturing labor hours, and 3 minutes of inspection time.

Uknow what i love about i ask a dumb question it is immediately answered but when i ask a real question it take like an hour to get answered