Answer:
In simple words, a call option refers to the provision under which the issuing entity of the stock can repurchase it from the holders at a pre- specified price. For example- Company A issued a security for $100 to X with a 1 year call provision at the call price of $110. This, means Company A can buy back te security from X at a price of $110 after one year.
A call option is an obligation to the holder and a right to the issuer of the security. Thus, the main benefit of using a call option is that if the price of the security in the market after one year exceeds $110 then company a can buyback shares at a discounted price.
Laws are created by the legislative branch, but the President, who is part of the executive branch, has the power to veto them.
<h3>How do the legislative and executive branches work together?</h3>
- The day-to-day administration and enforcement of Federal legislation is the duty of the executive branch, through the Federal agencies. The aims and responsibilities of these federal ministries and agencies range greatly, from safeguarding the environment to securing the country's borders.
- A statute may be subject to the President's veto in the executive branch, but with enough votes, the legislative branch can override the veto.
- The legislative branch has the authority to ratify presidential appointments, manage the budget, impeach the president and force their resignation.
- Executive orders, which are akin to proclamations and have legal effect, can be declared by the executive branch, but they can also be ruled unlawful by the judicial branch.
Learn more about legislative and executive branches here:
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<h3>The unemployment created by introduction of automatic elevators would be considered as structural
</h3>
Explanation:
Structural unemployment is a longer-lasting type of unemployment that is induced by structural economic changes and aggravated by external influences like technology, rivalry, and government policy.
Structural unemployment will last for decades and typically needs to reverse a dramatic shift. Technology continues to intensify systemic unemployment, marginalize certain workers and make certain occupations redundant, such as manufacturing. Structural unemployment can be long-term and difficult to address as it needs either displacement or retraining.
Answer:
- If a company has a profit margin of 10%, it means that the company earned a net income of $0.10 for each dollar of sales. A 10% PROFIT MARGIN MEANS THAT THE COMPANY EARNED 10 CENTS FOR EVERY DOLLAR OF REVENUE.
- If a company's operating margin increases but its profit margin decreases, it could mean that the company paid more in interest or taxes. OPERATING PROFIT = GROSS PROFIT - FIXED COSTS, NET PROFIT = OPERATING PROFIT - (INTERESTS AND TAXES). IF TAXES OR INTERESTS INCREASE, NET PROFITS DECREASE
Explanation:
there are several profitability ratios, the most important ones are:
- profit margin = net profit / total revenue
- gross profit margin = gross profit / total revenue
- return on equity = net income / total shareholder equity
- return on assets = net income / total assets
