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IRINA_888 [86]
1 year ago
15

The relationship between the prices of the underlying stock, a call option, a put option, and a riskless asset is referred to as

the _____ relationship.A. put-call parityB. covered callC. protective putD. straddleE. strangleA. put-call parity
Business
1 answer:
Katarina [22]1 year ago
3 0

Put-call parity defines the relationship between calls, places and the underlying futures contract.

This principle requires that the places and calls are the same strike, equal expiration and have the equal underlying futures contract.

<h3>What is meant by put and call?</h3>

A "put" or put option is a proper to promote an asset at a predetermined price. A "call" or name option is a right to purchase an asset at a predetermined price. If merchants are buying extra puts than calls, it indicators a upward jostle in bearish sentiment.

<h3>Why it is known as put-call in options?</h3>

If you buy an options contract, it can provide you the right however not the responsibility to buy or promote an underlying asset at a set price on or before a certain date. A call option offers the holder the right to buy a stock and a put choice offers the holder the right to sell a stock.

Learn more about Put-call parity here:

<h3>brainly.com/question/17112313</h3><h3>#SPJ4</h3>
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In order for a statewide income tax to be approved, there must be a vote with the majority approving the measure.

<span>Texas will not implement a statewide income tax in the immediate future because the voters will disapprove the measure.</span>
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3 years ago
Normally, BC bottling company attaches plastic labels to its bottles. However, a new company is launching a product that require
stellarik [79]

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Need recognition

Explanation:

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4 years ago
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Explaun how poverty can be a challenge to social responsibility
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4 years ago
Capitalism encourages businesses to be more efficient to compete successfully on:.
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Given what we know, we can confirm that capitalism encourages businesses to be more efficient to compete successfully on the price and quality of the product.

<h3>Why does capitalism encourage this competition between businesses?</h3>
  • This is due to the fact that through capitalism, there are more entities offering the same service.
  • This means that consumers will have to choose where to buy.
  • This will be based on the price and quality of the service or product.
  • Therefore, businesses are forced to compete in these areas to attract customers.

Therefore we can confirm that capitalism encourages businesses to be more efficient to compete successfully on the price and quality of the product in order to attract the limited amount of consumers for a product that is offered by many companies.

To learn more about capitalism visit:

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6 0
2 years ago
Marlon intends to sell a piece of real estate he owns and contracts Nita, a real estate broker, to make the sale. In the contrac
Lina20 [59]

Answer:

D) express agency

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From the question, we are informed about Marlon who intends to sell a piece of real estate he owns and contracts Nita, a real estate broker, to make the sale. In the contract, Marlon authorizes Nita to make the sale at or above a minimum price he wants and the date by which he wants the sale to be completed. The contract also stipulates that Marlon should not hire another broker to sell that piece of land till the expiry of the contract period. Nita finds a suitable buyer, makes the sale in time, and is paid by Marlon for her services. In this case, the types of agency had Marlon and Nita entered into is express agency. Express agency can be regarded as an agency that is been set up through an oral or a written agreement that exist between agent and principal. This gives indication of their express intent as regards this representational status. In this agency, the written or spoken words of the principal is used in authorizing the agent so that he can to act on behalf of the principal. An agency can be regarded as contract which could be express or implied.

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3 years ago
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