Answer:
-$ 540
Explanation:
Put Option - provides right to sell share at exercise price on expiry.
As it is an Right not Obligation, Thus, buyer will exercise the right only if he is gaining at expiry and he will gain only if exercise price is higher than spot price at expiry
In this case Exercise Price ($ 35) is lower than the spot price ( $ 36.25) at expiry. Thus he will not execrise the option.
He will lose all what he spend in buying option that is $ 1.35 per share
Thus,
Net profit or loss on this investment = 4 Options * 100 Shares each * Loss of $ 1.35 per Share
Net profit or loss on this investment = 4 * 100 * (-1.35)
Net profit or loss on this investment = -$ 540
You deposit $509 in a savings account and one year later you have $562. At the same time, the CPI increases from 126 to 143. What was your real interest rate, in percentage terms?
Answer:
real interest rate = -3.08%
Explanation:
real interest rate = nominal rate - inflation rate
nominal interest rate = [($562/$509) - 1] x 100 = 10.41%inflation rate = [(143/126) - 1] x 100 = 13.49%real interest rate = 10.41% - 13.49% = -3.08%
since the real interest rate is negative, the investor actually lost money in real dollars. This means that the amount of goods that the investor could purchase before making the investment is higher than the amount of goods he/she will be able to buy after the investment.
The demand function for Schrecklichs is 200 - 4PS - 2PL and the demand function for LaMerdes is 200 - 3PL - PS, where PS and PL are respectively the price of Schrecklichs and LaMerdes. If the world supply of Schrecklichs is 150 and the world supply of LaMerdes is 150, then the equilibrium price of Schrecklichs is:_______.a. $12.50. b. $15. c. $5. d. $10. e. $20.
Answer:
c. $5
Explanation:
Demand = Supply
200 - 4PS -2P_L=150
4PS+2PL=50 ..........(1)
200-3PL-PS=150
3PL+PS=50 ..........(2)
Equation (1) x 3....6PL+12PS=150 ......(3)
Equation (2) x 2...6PL+2PS=100 ........(4)
On Equation (3) and (4)
On eqn (3) and (4)
10PS = 50
PS=5
Substitute Ps value in eqn (1)
4PS+2PL=50
4(5)+2PL=50
2PL = 50-20
2PL=30
PL=15
Thus, the Equilibrium price of Schrecklichs is C) $5
The product cost concept includes the selling and administrative expenses in the cost amount to which the markup is added to determine product price. 1) True 2) False
Answer:
The product cost concept includes the selling and administrative expenses in the cost amount to which the markup is added to determine product price.
2) False
Explanation:
The product cost is made up of the following costs: direct labor, direct materials, consumable production supplies, and factory overhead. It does not include selling and administrative expenses. The total cost is then marked up to determine the product price at which it can be sold to customers. The markup will then cover the other expenses incurred in running the business and the expected profit per unit.
PLEASE HELP ILL GIVE BRAINLIEST ANSWER
James works as a distribution manager at a very large port. He oversees the storage of shipping containers that have been offloaded from large carriers and directs which trucking company will take the containers further along their path to the consumer. The pathway in the Transportation and Logistics cluster that James’s job falls into is _____.
Facility & Mobile Equipment Maintenance
Logistics, Planning and Management Services
Transportation and Operations
Warehousing & Distribution Center Operations
In a company that employs continuous budgeting on a quarterly basis and has an accounting period that ends December 31 of each year, what period would the first revision and update to the January through December 2017 budget cover?a. February 2017-January 2018 b. March 2017-February 2018 c. December 2017-November 2018
Answer:
I believe that your question is missing a couple of options. I searched for similar questions and they all included the one option I am looking for (see attached image):
If the budget is continuously updated, checked and revised every quarter, and the company's tax year ends December 31, then the next first quarter is going to be January - March. This means that at the end of March, the budget will be revised and updated, and these changes will apply to the following year which stars on April 2017 and ends on March 2018.
The correct option would be:
April 2017 to march 2018.In order for option A to be correct, the company's tax year should end on October. For option B to be correct, the tax year should end on November. Finally, for C to be correct, the tax yer should end on August.
Curtis purchased inventory on December 1, 2020. Payment of 250,000 stickles was to be made in sixty days. Also on December 1, Curtis signed a contract to purchase §250,000 in sixty days. The spot rate was §1 = 0.33682, and the 60-day forward rate was §1 = $0.36842. On December 31, the spot rate was §1 = 0.32438 and the 30-day forward rate was §1 = 0.36386.
At what amount should the Forward Contract account be recorded on December 1?
Answer: $0
Explanation:
Forward contracts get their value from the cost and on December 1, there was no cost to Curtis as he Curtis had just signed the contract.
This means that the amount that should be recorded for the Forward Contract should be $0. Even though the contract is valued at $0, it will still need to be credited against the amount to be received to at least recognize that a forward contract was entered into.
How do you think social media influences the business world?
Answer:
It makes businesses have the chance to put their website out where a bunch of people will go and visit their business.
Explanation:
Bill Campbell invested $3,200 and borrowed $3,200 to purchase shares in Kellogg. At the time of his investment, Kellogg stock was selling for $52 a share (a) If Bill paid a $53 commission, how many shares could he buy if he used his $3,200 and borrowed $3,200 on margin to buy Kellogg stock? (Round your answer to 2 decimal places.) Number of shares (b) Assuming Bill did use margin, paid a $92 total commission to sell his Kellogg stock, and sold his stock for $57 a share, how much profit did he make on his Kellogg investment? (Use the number of shares computed in part (a) rounded to 2 decimal places. Round your final answer to 2 decimal places.) Total profit after commissions
Answer:
Bill Campbell
a) The number of shares that Bill could buy = 122.06 shares.
b) The total profit after commissions = $465.42
Explanation:
a) Data and Calculations:
Investment from own funds = $3,200
Investment on margin = $3,200
Total investment = $6,400
a) If Bill paid a $53 commission, the number of shares that he could buy if he used his $3,200 and borrowed $3,200 on margin to buy Kellogg stock, with Kellogg's stock selling for $52 a share is:
Total investment = $6,400
Less commission 53
Investment on shares $6,347
Number of shares = 122.06 ($6,347/$52)
b) Sale of stock:
Sales value = $57 * 122.06 = $6,957.42
Total commission = 92.00
Net value from sale = $6,865.42
Cost of investment = $6,400.00
Profit on investment = $465.42
4 components of macro
Answer:
The Macro Environment consists of 6 different forces. These are: Demographic, Economic, Political, Ecological, Socio-Cultural, and Technological forces. This can easily be remembered: the DESTEP model, also called DEPEST model, helps to consider the different factors of the Macro Environment.
Explanation:
Answer:
I believe it is Carbohydrates, Lipids, Proteins, and Nucleic acids
Explanation:
Hope This Helps!!
God Bless!!
~DuffyDuck~
You have just purchased a car and, to fund the purchase, you borrowed $25,000. If your monthly payments are $402.18 for the next 6 years, what is the APR of the loan? A) 4.58% B) 5.67% C) 4.37% D) 5.09% E) 4.96%
Answer:
E) 4.96%
Explanation:
The computation of the APR could be determined by applying the RATE formula i.e. shown below:
Given that
PMT = $402.18
Present value = $25,000
NPER = 6 × 12 = 72
FUture value = $0
The formula is shown below:
=RATE(NPER;PMT;-PV;FV;TYPE)
After applying the above formula, the annual percentage rate of the loan is
= 0.4135% × 12
= 4.96%
hence, the correct option is E.
If the market's required rate of return is 13% and the risk-free rate is 3%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places.
Portfolio required return
Suppose you are the money manager of a $4.59 million investment fund. The fund consists of four stocks with the following investments and betas:
Stock Investment Beta
A $ 260,000 1.50
B 360,000 - 0.50
C 1,220,000 1.25
D 2,750,000 0.75
Answer: 11.27%
Explanation:
First calculate the portfolio beta which is a weighted average of the individual betas;
= (260,000/4,590,000 * 1.50) + (360,000/4,590,000 * -0.5) + (1,220,000/4,590,000 * 1.25) + (2,750,000/4,590,000 * 0.75)
= 0.827342
Use CAPM to calculate the required return ;
= risk free rate + beta ( market return - risk free rate)
= 3% + 0.827342(13% - 3%)
= 0.1127342
= 11.27%
Production possibilities curves are useful to businesses because they
A. show how producing one product affects production of another.
B. identify efficient production methods to increase productivity.
C. help make predictions about which products will be profitable.
O D. compare productivity between multiple companies,
A company currently has a 51 day cash cycle.Assume the firm changes its operations such that it decreases its receivables period by 2 days,increases its inventory period by 3 days,and increases its payables period by 4 days.What will the length of the cash cycle be after these changes?
A) 42 days
B) 45 days
C) 48 days
D) 49 days
E) 51 days
Answer:
E) 51 days
Explanation:
Calculation of length of the cash cycle after the changes.
As given:
Current cash cycle = 51 days.
Decreases its receivables period by 3 days
Increases its inventory period by 4 days.
Increases its payables period by 1 day.
Hence,
Cash cycle = 51 days - 3 days + 4 days- 1 day
Cash cycle = 51 day
Therefore the cash cycle after the changes will be 51 days
Suppose you buy lunch for $15.40 that includes a 8% sales tax. How much did the restaurant charge you for the lunch (excluding any tax) and how much does the restaurant owe for sales tax?a. $16.10 for lunch and $1.19 for sales tax.b. $14.81 for lunch and $1.29 for sales tax.c. $16.10 for lunch and $1.29 for sales tax.d. $14.91 for lunch and $1.19 for sales tax.
Answer: See explanation
Explanation:
Based on the scenario in the question, the amount that the restaurant charge for the lunch excluding any tax will be calculated as:
= $15.40 × 100/(100 + 8)
= $15.40 × 100/108
= $1540/108
= $14.26
Sales tax will be:
= $15.40 × 8%
= $15.40 × 8/100
= $15.40 × 0.08
= $1.23
How can the government use fiscal policy to promote full employment?
A
by decreasing taxation rates for corporations
B
by increasing the sale of government securities
by decreasing federal spending on education
D
by increasing the interest rates on reserves
Zheng has her house built on the border of a public watercourse in a state that follows riparian rights theory. It can be said that she:_________ a. is entitled to have the water body maintained in its natural state by other owners. b. is entitled to use the water for any purpose she may require. c. is not entitled to use any water without obtaining an approval from a court of law. d. is entitled to use only as much water as was used by the previous owner of the land.
Answer:
a. is entitled to have the water body maintained in its natural state by other owners.
Explanation:
The Riparian law is usually applied the eastern states of the United States to determine who is legally allowed to use water.
Riparian law states that the owner of a property adjacent to a body of water has the right to use it.
The concept of natural flow states that each Riparian land owner can use water for domestic use and no more. If a owner uses it for other purposes, other Riparian owners can take legal action against them.
Each riparian land owner is supposed to use what they need for domestic purpose so that natural flow is maintained for other riparian users.
refers to everything your customer see when interacting thing with your business.
Answer:
feedback on customer service
Suppose you purchase five put contracts on Testaburger Co. The strike price is $45, and the premium is $3. If, at expiration, the stock is selling for $39 per share, what are your put options worth? What's your net profit?
Answer:
3000
1500
Explanation:
For each of the answers in this question I have added the formulas to solve them in the attachment below
1.
(45-39)*5*100
= 3000
2.
(45-39)-3 x5 x100
= $1500
Mutual fund A earned 10 percent while B earned 8 percent. The standard deviations of the returns were 7 percent and 4 percent, respectively. Assumr risk free rate of 2%.
a) Estimate the Sharpe ratio of each mutual fund
b) According to the Sharpe ratio, which fund performed better?
Answer:
a) 0.9 & 1
b) Mutual Fund B
Explanation:
For starters, I will define what Sharpe ratio is.....
Sharpe ratio is tagged, the measure of risk-adjusted return of a financial portfolio. It is worthy if note that on the average, a portfolio with a higher Sharpe ratio is considered superior relative to its peers.
You the question, the Sharpe ratios would be calculated as follows:
(Return of portfolio - risk free rate) / standard deviation.
So, for Mutual Fund A:
A = (12% - 3%) / 10%
A = 9% / 10%
A = 0.9
For Mutual Fund B:
B = (10% - 3%) / 7%
B = 7% / 7 %
B = 1
Although the Mutual Fund in A is calculated to have a higher return, the Mutual Fund B is laced with a higher risk-adjusted return.
What is the best strategy to avoid paying interest on your credit cards?
A. Pay the minimum balance each month.
B. Have credit cards from two different banks.
C. Make payments online.
D. Pay the full balance each month.
9. What pointer appears when pointing to a hyperlink?
A. I-beam
B. Hand
C. Crosshair
D. Double arrow
Please help ASAP
Answer:
B. Hand
Explanation:
Hand pointer is a specific cursor, the one that looks like a hand, and with the index finger extended, like as it points to something.
The pointer shows the user the exact location of the cursor and helps him input the information.
The name pointer is given as it points the information to the user.
At the end of the year a company has a $1,200 debit balance in Manufacturing Overhead. If this amount is considered immaterial, the company will a) make an adjusting entry by debiting Manufacturing Overhead Applied for SI,200 and crediting Manufacturing Overhead for $1,200. b) make an adjusting entry by debiting Cost of Goods Sold for $1,200 and crediting Manufacturing Overhead for $1,200. c) make no adjusting entry because differences between actual overhead and the amount applied are a normal part of job costing and will average out next year. d) make an adjusting entry by debiting Manufacturing Overhead Expense for $1,200 and crediting Manufacturing Overhead for $1,200.
Answer:
b) make an adjusting entry by debiting Cost of Goods Sold for $1,200 and crediting Manufacturing Overhead for $1,200.
Explanation:
The ordinary treatment for the debit balance in the Manufacturing Overhead is to regard it as an under-absorbed cost, then the $1,200 will be debited to the Cost of Goods Sold while crediting the Manufacturing Overhead for $1,200. Differences between actual overhead and the amount applied are not a normal part of job costing but process costing. By debiting the Cost of Goods Sold, the manufacturing overhead would have been accounted for in determining the actual cost of the goods sold.
if a business purchases items to sell during the year, the cost of any items that are not used or consumed are reflected
Answer:
"On the end of the year balance sheet" is the right response.
Explanation:
If a company is buying goods to sell and even certain merchandise remains unsold might become a component of storage again for the corporation. That balance of supply remains displayed on either the reserves side underneath current assets on what's on the ending accounting records and then this amount will be carried forward to that day.Which of the following is a function of a human resources department? O planning for materials needs O setting strategic policies O administering compensation interpreting the legality of accounting practices
Answer:
O administering compensation
Explanation:
The human resources department or the HR is the department responsible for employees' management in an organization. Employees are the human resources in the organization. The HR's main task is to attract, train, and retain the best employees for the company.
Other functions of the Human resources department include
Recruiting and placing the right person for the right position.Managing the employee compensation schemeEnsure compliance with labor lawsTraining and building employee's capacityCreating and maintaining a good employer-employee relationship.Jana estimates that if it issues new common stock, the floation cost will be 15%. Jana incorporates the floation cost into the division's growth approach, What is the estimated cost of newly issued common stock, taking into account the floation cost?Pertinent information:firms tax rate=40%Jana's coupon=12%, semiannual, noncallable bond with 15 years remaining to maturity is $1,153.72. no short term interest bearing debt.current price of the firms 10%, $100 par value, quarterly dividend, perpetual preferred stock is $116.95. Jana would incur flotation costs equal to 5% of the proceeds on a new issue.Jana's common stock selling at $50/share. Last dividend was $3.12 and dividends are expected to grow at a constant rate of 5.8%. Jana's beta=1.2, yield on t-bonds=5.6%, market risk premium is estimated to be 6%. The firm uses a 3.2% risk premium
Answer:
The cost of newly issued common stock will be 5.8% after incorporating the effect of flotation cost.
Explanation:
WACC is the cost of capital of all the sources of finance. This cost of capital should consider all the sources of finance. Jana should include long term debts and equity financing costs to identify the Weighted average cost of capital. Preferred stocks are also added in the calculations.
Taisha operates equipment to transfer oil from one container to another. Her job title is best described as
Spencer manages the flow of electricity through substations and distribution lines. His job title is best described as
Mariko maintains cables and supporting structures for transmitting electricity. Her job title is best described as
Fred operates equipment to transfer hydrogen through pipelines. His job title is best described as
Answer:
she would be the pump opperater
Explanation:
Answer:pump operator
Power dispatcher
Electrical power-line repairer
Gas pumping station operator
Explanation:
Bayou Okra Farms just paid a dividend of $3.85 on its stock. The growth rate in dividends is expected to be a constant 4 percent per year indefinitely. Investors require a return of 12 percent for the first three years, a return of 10 percent for the next three years, and a return of 8 percent thereafter. What is the current share price?
Answer:
The answer is "$86.44".
Explanation:
The more recent dividends paid [tex]= \$ \ 3.85[/tex]
Level of growth [tex]= 4 \%[/tex]
Required returns level for a first 3 years = 12 [tex]\%[/tex]
Required returns rate for year 3 to year 6 = 10 [tex]\%[/tex]
Required returns level after years 6= 8 [tex]\%[/tex]
Formula:
[tex]\text{Value of stock}= \frac{ \text{Last Dividend} \times (1+ Growth \ rate)}{\text{(Required rate of return - Growth Rate)}}[/tex]
Divididend payment for year O to year 6 is calculated below:
Year [tex]0 \ \ \ \ \ \ \ \ \ \ \ 1 \ \ \ \ \ \ \ \ \ \ \ 2 \ \ \ \ \ \ \ \ \ \ \ 3 \ \ \ \ \ \ \ \ \ \ \ 4 \ \ \ \ \ \ \ \ \ \ \ 5 \ \ \ \ \ \ \ \ \ \ \ 6[/tex]
Rate of return needed 12[tex]\%[/tex] 12[tex]\%[/tex] 12[tex]\%[/tex] 10[tex]\%[/tex] 10[tex]\%[/tex] 10[tex]\%[/tex]
Collection of dividend[tex]\$ \ 3.85 \ \ \ \ \ \ 4.00 \ \ \ \ \ \ 4.16 \ \ \ \ \ \ 4.33 \ \ \ \ \ \ 4.50 \ \ \ \ \ \ 4.68 \ \ \ \ \ \ 4.87[/tex] Benefit of terminal 126.6584
Dividend purchase price 3.58 3.32 3.08 3.08 2.91 2.75 Terminal value at year-end 3 95.16
Present dividend value 67.73
Value of Stock $86.44
Helppp mee please!!!give me your opinion!
Do you think information system can provide the solution to most organisational
problems? If not, why not?
Answer:
YES
Explanation:
Information systems can in fact provide solutions to a lot of organizational problems in businesses and companies. Information Systems can help collect data, statistics, and overall organization. Let's say you are looking into starting a moving business. In order to do that you need to hire employees. An information system such as Indeed can assist you with that. If you are looking to provide invoices to your customers an information system such as Quickbooks can help you with that. There are soo many Information Systems our there that can help a business with any problem.
Describe what companies can do to prepare employees for layoffs and to reduce their potential negative effects?
Answer:
Generally companies engage in massive layoffs because economic times are hard, but evidence show that massive layoffs actually do not benefit companies, instead it hurts them in the long run.
According to a study made by the Harvard Business Review, 45% of Fortune 500 companies carried out layoffs on a normal basis and 65% did it during the great recession. But that didn't help them become more profitable, nor more productive. Actually, the study showed that companies that engage in massive layoffs suffer financially for at least 3 years after the layoffs have been made. Remember that layoffs in America are rather simple and cheap to do, the negative effects of layoffs last longer in countries where firing people is expensive.
Most companies start firing employees because things are not going well and they are used as a way to cut costs. But even though firing people in the US is not expensive, hiring and training new employees is. Some companies like Toyota or Honda rarely fire anyone. Toyota aversion for layoffs is so great that it hasn't manufactured any cars in Venezuela for more than 7 years already, and it hasn't fired any employee. It rather relocated them to other countries after receiving more training.
Massive layoffs result in lower job satisfaction, organizational commitment and overall job performance. So any money saved by cutting jobs is lost by lower efficiency. Some universities have pointed out that the negative effects of massive layoffs can last up to 20 years. Remember that people are involved, not machines. When people feel disappointed and betrayed they will not behave in the same way. Negative effects tend to last much more than positive effects, e.g. wage increase which is seem as natural and fair.
What can be done:
Think like Toyota. If you know that X number of employees will not be needed in the future, retrain them and transfer them to areas where they can be useful. E.g. AT&T engages in a massive retraining policy for future unnecessary employees and managed to relocate 100,000 of them in 7 years. That actually boosted AT&T's productivity, increased its revenues and decreased costs. They were able to retain talent and boost morale.
When laying off employees is unavoidable and unforeseeable (which is rarely the case), companies should offer their employees a fair way out. They should also avoid making other remaining employees feel uncomfortable or that they are next in line to be laid off.
The futures contract on silver is based on 5,000 troy ounces and is priced in dollars and cents per troy ounce. Assume today's report reflects these prices for the June contract: Open 19.435, High 19.450, Low 19.025, Settle 19.119, and Chg .369. What is the price per troy ounce that will be used for today's marking-to-market for this contract?A) $19.435B) $19.450C) $19.025D) $19.081E) $19.119
Answer:
$19.119
Explanation:
Settle price is used.
The settlement price also called settle price, is the average price at which a contract trades. This price is calculated at the opening of the trading day, and also calculated again at the closeing of the trading day.
The settlement price is of utmost important because it is a determining factor as to whether a trader is required in the posting of additional margins or not
