Research Methods Essay Example | Topics and Well Written Essays - 3000 words - 1

Research Methods - Essay characterThe uncertainty of a given amount of revenue that may be gotten, after the perspective straddle in various currencies argon converted to $ atomic number 18 computed. This provides estimation of the anticipated future revenue, to help the club in budgeting and planning processes. Consequently, the HSBC offer will be discussed to explore the disadvantages and advantages of handling the decision from the CEO and gross revenue manager point of view. Consequently, the paper discusses the Value at Risk of the bank, alternative options, and the historical performance of swop rates. The conclusions from the paper will be helpful in directors and managers of USASuperCars to make proper decision in eccentric to the perspective future revenues, and proper ways to deal with the fluctuation in exchange rates. Introduction USASuperCars is a company that sells luxury sport cars. The company has signed a contract with seven clients around the ball to sell car s in a years time. The selling prices are always constant and are in domestic currency at the prevailing markets selling price at the delivery time (Sarno & Taylor, 2002). One of the problems that the company faces is the uncertainty of the exchange rates, to cope with the uncertainty. The company has come up with standard deviation and estimates from the Bank of America to curb the uncertainty. The accompanying report concluded that the rates are independent and evenly distributed. Question 1 Table 1 The check Revenue in Dollars oecumenic Orders Exchange Rate Customer Quantity SP SP ($) Revenue ($) Mean SD Mean ($) SD ($) UK 12 ?57000 91006.2 1092074.4 $ 1.41/? $0.041/? 80370 2337 Japan 1 5 Y 8500000 85442 427210 $0.00904/Y $0.00045/Y 76840 3825 Japan 2 3 Y9000000 90468 271404 $0.00904/Y $0.00045/Y 81360 4050 Canada 1 1 hound dog 97000 92447.86 92447.86 $0.824/ click $0.0342/CAD 79928 3317.4 Canada 2 3 CAD 100000 95338 286014 $0.824/CAD $0.0342/CAD 82400 3420 South Af rica 2 R4 100000 9654.65 19309.3 $0.0211/R $0.000083/R 2110 8.3 USA 1 $100,000 100000 100000 Total Revenue 564356.71 2288459.56 403008 16957.7 The table shows the revenue conversion from foreign countries converted into domestic currency. In the table above, it shows that the bastardly revenue is 2,288,459.56 dollars. Using the figure, the standard deviation is calculated as 338350.8071. The estimated probabilities for different situations are stated down the stairs Question 2 2 (a) Worldwide Orders Exchange Rate Customer Quantity SP SP ($) Revenue ($) Mean-Revenue shape Mean SD Mean ($) SD ($) UK 12 ?57000 91006.2 1092074.4 765151.6057 5.85457E+11 $ 1.41/? $0.041/? 80370 2337 Japan 1 5 Y 8500000 85442 427210 100287.2057 10057523630 $0.00904/Y $0.00045/Y 76840 3825 Japan 2 3 Y9000000 90468 271404 -55518.79429 3082336519 $0.00904/Y $0.00045/Y 81360 4050 Canada 1 1 CAD 97000 92447.86 92447.86 -234474.9343 54978494808 $0.824/CAD $0.0342/CAD 79928 3317.4 Canada 2 3 C AD 100000 95338 286014 -40908.79429 1673529450 $0.824/CAD $0.0342/CAD 82400 3420 South Africa 2 R4 100000 9654.65 19309.3 -307613.4943 94626061867 $0.0211/R $0.000083/R 2110 8.3 USA 1 $100,000 100000 100000 -226922.7943 51493954566 Total Revenue 564356.71 2288459.56 403008 16957.7 Mean 326922.7943 Variance 1.14481E+11 SD