Show Where Each of the Following Transactions Belongs on the Canadian

question 48

Essay

Show where each of the following transactions belongs on the Canadian balance of payments table,using an exchange rate of 100 Japanese yen per Canadian dollar.
a.A Japanese firm spends 5 billion yen to buy personal computers from IBM (a Canadian firm).
b.A wealthy Japanese businessman gives $100 thousand to the San Diego Zoo.
c.A Canadian firm buys 1 million Sony Walkmans at 6000 yen each (Sony is a Japanese firm).
d.A Japanese investment banking firm buys 500 million dollars' worth of newly issued Canadian government Treasury bills.
e.Canadian steel firms send 2000 executives to Japan to take courses in the Japanese method of steel production and Japanese management techniques,paying 2 million yen per executive.
f.Repeat parts a.- e.for the balance of payments table of Japan.

Evaluate the implications of ABC on pricing and product mix decisions.

Recognize different categories of activities and their role in cost allocation

Understand the concept and application of activity-based costing.

Identify different types of activity levels (unit-level, batch-level, product-level, facility-level).

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Definitions:

Free Trade

An economic policy that allows imports and exports between countries with minimal governmental restrictions or duties.

Domestic Price

The cost of products or services within the confines of a nation, in contrast to prices on the international or overseas market.

Imported Shoes

Footwear that is brought into a country from another to be sold, often reflecting the global trade dynamics and consumer preferences.

Domestic Production

The total value of all goods and services produced within a country's borders in a given time period.