The equilibrium exchange rate of pounds is $1.39. At an exchange rate of $1.41 per pound: Question 17 options: U. S. demand for pounds would be equal to the supply of pounds for sale and there would be a shortage of pounds in the foreign exchange market. U. S. demand for pounds would be less than the supply of pounds for sale and there would be a surplus of pounds in the foreign exchange market. U. S. demand for pounds would be less than the supply of pounds for sale and there would be a shortage of pounds in the foreign exchange market. U. S. demand for pounds would exceed the supply of pounds for sale and there would be a surplus of pounds in the foreign exchange market. U. S. demand for pounds would exceed the supply of pounds for sale and there would be a shortage of pounds in the foreign exchange market.

Activity-based costing (abc) is not truly a cost collection mechanism as much as it is an inventory valuation method. the main purpose for implementing an activity-based cost system is to try to overcome some of the cost distortions that occur in traditional costing from product differences when there are variations in size and complexity. however, one of the disadvantages of utilizing abc is that the additional information gathering necessary to implement costing with that level of detail might be beyond the reach of some companies with resource or financial constraints. with this in mind, what kinds of industries or companies do you think would benefit most from using activity-based costing and why? in designing or modifying an accounting system to capture appropriate costs for abc, what considerations do you think would need to be made?