« previous next »

Author Question: In the graph above, which points reflect an interest parity arbitrage opportunity? A) point A B) ... (Read 76 times)

craiczarry

  • Hero Member
  • *****
  • Posts: 527
on: Jun 30, 2018
In the graph above, which points reflect an interest parity arbitrage opportunity?
 
  A) point A
  B) point B
  C) point C
  D) points B and C

Question 2

Suppose an MNC subsidiary buys 100 input units from its parent at a price of 2 each. It has 300 in additional production costs, and sells its 100 units of output for 6 to the MNC. It pays a 25 local profit tax.
 
  The MNC sells the output at home for 8, and its cost of producing inputs is 1 . It pays a profit tax of 20 at home on repatriated profits. What is the subsidiary net profit? Assume no selling costs at home. What is the MNC's total profit from the operation?


ashely1112

  • Sr. Member
  • ****
  • Posts: 347
Reply #1 on: Jun 30, 2018
Answer to Question 1

D

Answer to Question 2

75; 360


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Historic treatments for rheumatoid arthritis have included gold salts, acupuncture, a diet consisting of apples or rhubarb, nutmeg, nettles, bee venom, bracelets made of copper, prayer, rest, tooth extractions, fasting, honey, vitamins, insulin, snow collected on Christmas, magnets, and electric convulsion therapy.

Did you know?

To prove that stomach ulcers were caused by bacteria and not by stress, a researcher consumed an entire laboratory beaker full of bacterial culture. After this, he did indeed develop stomach ulcers, and won the Nobel Prize for his discovery.

Did you know?

Serum cholesterol testing in adults is recommended every 1 to 5 years. People with diabetes and a family history of high cholesterol should be tested even more frequently.

Did you know?

Methicillin-resistant Staphylococcus aureus or MRSA was discovered in 1961 in the United Kingdom. It if often referred to as a superbug. MRSA infections cause more deaths in the United States every year than AIDS.

Methicilli ...
Did you know?

During pregnancy, a woman is more likely to experience bleeding gums and nosebleeds caused by hormonal changes that increase blood flow to the mouth and nose.

Observed Mother–Child Arguments at Five Time Points Over an Eight-Year Period Observed Mother–Child Arguments at Five Time Points Over an Eight-Year Period
A point-type ignition system showing the distributor cam which opens the points A point-type ignition system showing the distributor cam which opens the points
How to graph complex numbers How to graph complex numbers
How to find the point of intersection of two straight lines by graphing How to find the point of intersection of two straight lines by graphing
Two-point discrimination Two-point discrimination
Finding the graph of a Parabola using certain values Finding the graph of a Parabola using certain values
Video: Prone Position

For a complete list of videos, visit our video library