That has share holders and a board of directors.
Answer:
The least that this option should sell for is $3,125.
Explanation:
Acording to the data, we have the following:
The current spot exchange is $1.55=€1.00
The call option has a strike price of $1.50=€1.00 and spot price is €62,500
Hence,to calculate the least value this option should sell for we have to calculate the following:
$1.55-$1.50=$0.05
Hence, $0.05*62,500= $3,125.
Answer: 88.89 or 89
Explanation: Futures contract refers to a legal binding which obligates a buyer and seller to transact about a commodity, good, security or services at a predetermined price but goods are delivered or paid for in the future.
Given the following ;
Portfolio value(p) = $20million
Portfolio Beta (b) = 1.2
Index price (i) = 1080
Multiplier = 250
Future value(A) = index price × multiplier
Future value(A) = 1080 × 250 = 270000
Number of contracts (N) = (portfolio value × portfolio Beta) ÷ future value
N = ($20,000,000×1.2)÷270000
N = 24000000 ÷×270000
N = 88.8888=88.89
N = 89 (NEAREST whole number)
Answer:
c) is the same along both curves.
Explanation:
Two straight-line PPFs have the same vertical intercept, but curve I is flatter than curve II. The opportunity cost of producing the good on the horizontal axis is the same along both curves.
