On June 15, a U. K. firm is planning to import computers worth $5 million from Intel on September 3. The U. K. firm has to pay $ on September 3. So, the U. K. firm has account payable (A/P). The firm decides to hedge its position using the London International Financial Futures Exchange (LIFFE). The spot rate is $1.3139. The September LIFFE futures price is $1.3280. The firm chooses an amount of futures contracts that matches as closely as possible, at the current exchange rate, its $ 5 million position. Later, on September 3, the spot rate is $1.2590, while the September futures price is $1.2550. Calculate the net gain or loss, in terms of pounds, of the hedged position as of September 3. (Ignore any interest rate opportunity gain or loss from the time pattern of cash flows & assume available maturity of LIFFE futures is not closely matching with the credit period.) A) 8,078 pounds loss B) 8,078 pounds gain C) 51,493 pounds loss D) 51,493 pounds gain E) None of the above

Wallace company provides the following data for next year: month budgeted sales january $120,000 february 108,000 march 140,000 april 147,000 the gross profit rate is 35% of sales. inventory at the end of december is $29,600 and target ending inventory levels are 10% of next month's sales, stated at cost. what is the amount of purchases budgeted for january?

John and daphne are saving for their daughter ellen's college education. ellen just turned 10 at (t = 0), and she will be entering college 8 years from now (at t = 8). college tuition and expenses at state u. are currently $14,500 a year, but they are expected to increase at a rate of 3.5% a year. ellen should graduate in 4 years--if she takes longer or wants to go to graduate school, she will be on her own. tuition and other costs will be due at the beginning of each school year (at t = 8, 9, 10, and 11).so far, john and daphne have accumulated $15,000 in their college savings account (at t = 0). their long-run financial plan is to add an additional $5,000 in each of the next 4 years (at t = 1, 2, 3, and 4). then they plan to make 3 equal annual contributions in each of the following years, t = 5, 6, and 7. they expect their investment account to earn 9%. how large must the annual payments at t = 5, 6, and 7 be to cover ellen's anticipated college costs? a. $1,965.21b. $2,068.64c. $2,177.51d. $2,292.12e. $2,412.76

On july 2, year 4, wynn, inc., purchased as a short-term investment a $1 million face-value kean co. 8% bond for $910,000 plus accrued interest to yield 10%. the bonds mature on january 1, year 11, and pay interest annually on january 1. on december 31, year 4, the bonds had a fair value of $945,000. on february 13, year 5, wynn sold the bonds for $920,000. in its december 31, year 4, balance sheet, what amount should wynn report for the bond if it is classified as an available-for-sale security?