1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Papessa [141]
3 years ago
7

A customer has purchased 200 shares of ABC at $51 per shaer. The stock is now worth $54 and the customer buys 2 ABC Aug 55 Puts

@ $5. The puts are exercised when the market is at $52. The customer's gain or loss is:
Business
1 answer:
trapecia [35]3 years ago
5 0

Answer:

$200 loss

Explanation:

The customer's paid in total $51 (market price) + $5 per share (put options) = $56 per share. If the investor exercises the put options, he/she will have a net loss of $55 (put option price) - $56 (cost) = -$1 per share. Since the investor had 200 shares, his/her total loss would equal -$1 x 200 = -$200

You might be interested in
Boyd Docker engaged in the following activities in establishing his photography studio, SnapShot!:
WARRIOR [948]

Answer:

1. Dr Cash $8,290

Cr Common stock $8,290

2. Dr Supplies $980

Cr Cash $390

Cr Accounts payable $590

3. No Entry $0

No Entry $0

Explanation:

Preparation of the entries to record the transactions

1. Based on the information given if he deposited the amount of $8,290 of his own money into this account in exchange for common stock the journal entry will be:

Dr Cash $8,290

Cr Common stock $8,290

(Being To record the investment)

2. Based on the information given in a situation where he Purchased photography supplies at a total cost of the amount of $980 which means that if The business paid the amount of $390 in cash, and the balance is on account the journal entry will be:

Dr Supplies $980

Cr Cash $390

Cr Accounts payable $590

($980-$390)

(Being To record the purchase of supplies)

3. Based on the information given in a situation where he Obtained the estimates on the cost of photography equipment from the three different manufacturers which means that no transaction or entry will be recorded.

No Entry $0

No Entry $0

4 0
3 years ago
Andy deposited $3,000 this morning into an account that pays 5 percent interest, compounded annually. Barb also deposited $3,000
fiasKO [112]

Answer:

Barb will earn interest on interest yes because she don't retire the interest

Explanation:

a. Barb will earn compound interest both will aearn compound interest.

b. Barb will earn more interest the first year than Andy both are compound annualy. The first year both will earn the same amount of interest.

c. Barb will earn interest on interest yes because she don't retire the interest and reinvest it.

Compound interest (or compounding interest) is interest calculated on the initial principal, which also includes all of the accumulated interest of previous periods of a deposit or loan

d. After five years, Andy will have more money in his account than Barb. No because he spend his interest.

e. Andy will earn more interest the first year than Barb both are compound annualy. The first year both will earn the same amount of interest.

3 0
3 years ago
For each market listed below, determine whether it is best characterized as a Cournot oligopoly, Stackelberg oligopoly, or Bertr
Semenov [28]

Answer: A. Cournot Oligopoly B. Stackelberg Oligopoly C. Bertrand Oligopoly

Explanation:

Cournot Model: In Cournot model, firms produce output independently and then set their prices. In this type of model, the products are typically standardized.

Stackelberg Model: In Stackelberg model, there is one firm who is quite dominant and that firm sets the price. Whereas, other firms or the competing lower firms usually follow the price leader.

Bertrand Model: In this model, firms have interaction with buyers in order to set prices and quantities.

3 0
2 years ago
The company enters a lease agreement requiring lease payments with a present value of $14 million. will this lease agreement aff
wariber [46]
Kjnkjnkj no onefc are  dld gp s gldfb jtelx gl x

5 0
2 years ago
How did the conflicts between labor unions and business capital evolve during the gilded age? be sure to address strikes, the ev
slavikrds [6]
The industry's progress was confronted with a tough attitude of trade unions which had taken strength after the war.
The strategy adopted was the struggle for wage increases and the conservation of a monopoly power, which in many cases affected the introduction of technical improvements.
At that time, international sectoral trade unions and multinational corporations negotiate international framework agreements that allowed for Labour advancement.
It should also be noted that from the creation of the International Workers Association (IWA), the First World Trade union centre of the working class, the right to strike is recognised as one of the fundamental rights of the individual.Since then, representatives of workers from different countries jointly deal with the social problems that concerned them.
6 0
3 years ago
Other questions:
  • what was the main cause behind the lowell strike in the mid nineteenth century? (a. wage cuts)( b. working hours) (c. living con
    7·1 answer
  • Katie dough is a successful dentist and a wonderful pastry chef. she earns $800 a day on average in her dental practice. her fri
    14·1 answer
  • Robert is a wealthy businessman who wishes to purchase a particular property. realizing that the price might become inflated if
    9·2 answers
  • Self-interest helps achieve society's economic goals because as consumers and producers exercise their ____ to act in their own
    11·1 answer
  • Each bank in the town of La Rinconada has only a single set of locking doors at its entrance. In the town of Inverness, on the o
    6·1 answer
  • Develop a worksheet that can be used to simulate the bids made by the two competitors. Strassel is considering a bid of $120000
    5·1 answer
  • g Suppose total output (real GDP) is $1,000 and labor productivity is $10. We can conclude that the number of worker hours must
    15·1 answer
  • Gabrielle does not want to work a nine-to-five job. Still, she has to work to support herself. She accepts a job as a restaurant
    10·2 answers
  • Ask me anything ‍♂️ I’m bored
    13·2 answers
  • When talking about saving money, Anthony ONeal says, "Start paying yourself and
    9·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!