Suppose the Swiss franc revalued from USD0.9918/CHF at the beginning of 2016 to USD1.0279/CHF at then end of 2016. By what percent has the U.S. dollar appreciated or depreciated relative to the Swiss franc?
United State dollars has appreciated in comparison to swiss Frank
By = (1.0279-.9918)/.9918
= 3.63%
Rate of appreciation of 3.63 percent in us dollars.
Suppose the Swiss franc revalued from USD0.9918/CHF at the beginning of 2016 to USD1.0279/CHF at then...
On December 18, 2017, Stephanie Corporation acquired 100 percent of a Swiss company for 4.0 million Swiss francs (CHF), which is indicative of book and fair value. At the acquisition date, the exchange rate was $1.00 = CHF 1. On December 18, 2017, the book and fair values of the subsidiary’s assets and liabilities were: Cash CHF 813,000 Inventory 1,313,000 Property, plant & equipment 4,013,000 Notes payable (2,126,000 ) Stephanie prepares consolidated financial statements on December 31, 2017. By that...
You observe that the spot price of the Swiss franc (CHF) is 1.14 USD/CHF, and that the 1 year forward rate is 1.07 USD/CHF. What is the percent forward premium? Enter answer as percent, accurate to 2 decimal places
The risk-free one-year interest rate in the Swiss Franc (CHF) is 1.5%, while the risk-free one-year interest rate in the Euro (EUR) is 3.5%. The current spot exchange rate is CHF 1.2000 = 1 EUR and both currencies are traded in an open market without transaction costs. Anyone can borrow or lend at the risk-free rate in either currency. Your Swiss client (whose wealth and profits are in Swiss Francs) has an obligation of EUR 10,000, six months from now....
On December 18, 2017, Stephanie Corporation acquired 100 percent of a Swiss company for 4.0 million Swiss francs (CHF), which is indicative of book and fair value. At the acquisition date, the exchange rate was $100 CHF 1. On December 18, 2017, the book and fair values of the subsidiary's assets and liabilities were: 1,318,006 4,810,800 (2,128,000) Property, plant & equipment Stephanie prepares consolidated financial statements on December 31, 2017 By that date, the Swiss franc has appreciated to $1.10...
On December 18, 2017, Stephanie Corporation acquired 100 percent
of a Swiss company for 4.0 million Swiss francs (CHF), which is
indicative of book and fair value. At the acquisition date, the
exchange rate was $1.00 = CHF 1. On December 18, 2017, the book and
fair values of the subsidiary’s assets and liabilities were:
Cash
CHF
814,000
Inventory
1,314,000
Property, plant & equipment
4,014,000
Notes payable
(2,128,000
)
Stephanie prepares consolidated financial statements on December
31, 2017. By that...
PPP - Purchasing Power Parity Suppose that the current Swiss franc to U.S. dollar spot exchange rate is $:SFr = 1.60 (i.e., 1.60 SFr per U.S. dollar or 1.60 SFr/$). The expected inflation over the coming year is 2% in Switzerland and 5% in the US. According to the purchasing power parity, what is the expected value of the Swiss franc to U.S. dollar spot exchange rate a year from now?
On December 18, 2017, Stephanie Corporation acquired 100 percent of a Swiss company for 4.0 million Swiss francs (CHF), which is indicative of book and fair value. At the acquisition date, the exchange rate was $1.00 = CHF 1. On December 18, 2017, the book and fair values of the subsidiary’s assets and liabilities were: Cash CHF 805,000 Inventory 1,305,000 Property, plant & equipment 4,005,000 Notes payable (2,110,000 ) Stephanie prepares consolidated financial statements on December 31, 2017. By that...
On December 18, 2020, Stephanie Corporation acquired 100 percent of a Swiss company for 4.021 million Swiss francs (CHF), which is indicative of book and fair value. At the acquisition date, the exchange rate was $1.00 = CHF 1. On December 18, 2020, the book and fair values of the subsidiary’s assets and liabilities were as follows: Cash CHF 821,000 Inventory 1,321,000 Property, plant, and equipment 4,021,000 Notes payable (2,142,000 ) Stephanie prepares consolidated financial statements on December 31, 2020....
On December 18, 2017, Stephanie Corporation acquired 100 percent of a Swiss company for 4.0 million Swiss francs (CHF), which is indicative of book and fair value. At the acquisition date, the exchange rate was $1.00 = CHF 1. On December 18, 2017 the book and fair values of the subsidiary's assets and liabilities were: Cash Inventory Property, plant & equipment Notes payable CHF 812,000 1,312,000 4,012,000 (2,124, 000) Stephanie prepares consolidated financial statements on December 31, 2017. By that...
n December 18, 2017, Stephanie Corporation acquired 100 percent of a Swiss company for 4.0 million Swiss francs (CHF), which is indicative of book and fair value. At the acquisition date, the exchange rate was $1.00 = CHF 1. On December 18, 2017, the book and fair values of the subsidiary’s assets and liabilities were: Cash CHF 817,000 Inventory 1,317,000 Property, plant & equipment 4,017,000 Notes payable (2,134,000 ) Stephanie prepares consolidated financial statements on December 31, 2017. By that...