Business, 23.12.2020 19:50 Geo777

Sapling Independent is a small bank located in Hong Kong. Sapling Independent is interested in increasing the number of mortgages it writes, but it is constrained by how many deposits it has. It has decided to borrow 12,000,000 euros from a large German bank for one year. The German bank is going to charge Sapling Independent an interest rate of 2.5% per year. The German bank insists on being repaid in euros. After Sapling Independent borrows the money, it is going to have to convert the money into Hong Kong dollars at an exchange rate of 9.0 HK dollars/euro. Then, Sapling Independent is going to lend all the money at an interest rate of 7.0% per year. At the end of one year, all the money that Sapling Independent lent will be repaid, plus interest. Finally, at the end of one year, Sapling Learning is going to have to repay its loan to the German bank in euros. At the end of the year, the exchange rate is 7.5 HK dollars/euro. What is Sapling Independent's profit from this series of transactions in Hong Kong dollars

Answers: 1

Show answers

Another question on Business

Business, 22.06.2019 10:20

Sye chase started and operated a small family architectural firm in 2016. the firm was affected by two events: (1) chase provided $25,000 of services on account, and (2) he purchased $2,800 of supplies on account. there were $250 of supplies on hand as of december 31, 2016. record the two transactions in the accounts. record the required year-end adjusting entry to reflect the use of supplies and the required closing entries. post the entries in the t-accounts and prepare a post-closing trial balance.

Answers: 1

Answer

Business, 22.06.2019 10:50

The uptowner just paid an annual dividend of $4.12. the company has a policy of increasing the dividend by 2.5 percent annually. you would like to purchase shares of stock in this ﬁrm but realize that you will not have the funds to do so for another four years. if you require a rate of return of 16.7 percent, how much will you be willing to pay per share when you can afford to make this investment?

Answers: 3

Answer

Business, 22.06.2019 19:40

On april 1, santa fe, inc. paid griffith publishing company $2,448 for 36-month subscriptions to several different magazines. santa fe debited the prepayment to a prepaid subscriptions account, and the subscriptions started immediately. what amount should appear in the prepaid subscription account for santa fe, inc. after adjustments on december 31 of the first year assuming the company is using a calendar-year reporting period and no previous adjustment has been made?

Answers: 1

Answer

Business, 23.06.2019 06:50

Jaden has a degree in marketing. she would like to run her department. she is going back to school to get a degree in: a. web designer b. database administrator c. information security d. computer user support

Answers: 1

Answer

You know the right answer?

Sapling Independent is a small bank located in Hong Kong. Sapling Independent is interested in incre...

Questions