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
emmainna [20.7K]
4 years ago
8

A customer who is long 500 shares of xyz writes 7 calls against the position. this is an example of

Business
1 answer:
taurus [48]4 years ago
3 0

Answer: Covered Call

When a person holds a stock and writes (sells) calls on the same stock, the strategy is known as a covered call.  

A person can opt for this strategy if he has a neutral view on the stock, but wants to generate an income stream by receiving premiums by writing the call option.  

The risk involved in this strategy occurs when the stock price moves above the strike price. In this scenario, the covered call writer has to deliver the shares when the call is exercised. He doesn’t benefit from an increase in price.

You might be interested in
An operating agreement for a limited liability company must follow a particular framework and include certain specific provision
AleksandrR [38]
The answer is A. True

Well, basically all types of business organization need to follow a  particular framework and provisions.

It help to prevent a future misconduct between partners, and to keep the company in the good side of the Law
3 0
4 years ago
What is the MOST likely result of imposing a price ceiling on a particular product?​
Genrish500 [490]

Answer:

Usually, when a price ceiling is imposed, the demand for the product goes up. This can cause a shortage of products because of their high-demand. Conversely, the opposite occurs when a price floor is imposed.

8 0
3 years ago
20) Although sounding contradictory, some firms see great benefit to orienting operations that simultaneously focus efforts on e
aliina [53]

Answer:

transnational

Explanation:

A business strategy sets the overall direction for the business because it focuses on defining how a business would achieve its goals, objectives, and mission; as well as the funds and material resources required to implement or execute the business plan.

A transnational strategy can be defined as a set of planned actions through which a company focuses on establishing other branches in foreign markets. Thus, there exist some level of centralization, cooperation and interdependence between its headquarter, branches, subsidiaries and retail stores.

This ultimately implies that, a transnational strategy simply involves companies adopting the following approach;

I. Focusing efforts on ensuring local responsiveness.

II. Aggressively reducing operational costs.

III. Systematically transferring ideas and innovations among subsidiaries.

Hence, companies following the aforementioned approach are considered to be following a transnational strategy.

8 0
3 years ago
Caleb is a manager at Computer-Care Company. He is expected to consider the effort of each decision alternative on all parties a
algol13

Answer: Utilitarian Approach.

Explanation:

Utilitarian Approach is a method of decision making where a decision is made whose outcome positively affects a greater number of individuals.

Caleb is trying to determine a Utilitarian approach that would have a positive outcome for a greater number of people.

8 0
3 years ago
the origin of life broadly conforms to the Oparin-Haldane model, then early in life's origin there was not a distinction between
Alex

Answer:

Phenotypes are the visible characteristics of an organism. In the case of humans, phenotypes are determined by things like eye color, hair color, hair texture, or skin color.

Genotype is the total genes, or genome, of an organism, whether they are expressed or not, visibile or not.

For example, a brown-eyed person can have both a dominant gene encoding for brown eye color, and a recessive gene encoding for blue eye color. Phenotypically, this person has brown eyes, but his genotype includes both brown eyes genes and blue eyes genes.

Phenotype could have been distinguished from genotype when the firs multicellular organisms emerged.

8 0
3 years ago
Other questions:
  • Transactions for Pharoah Company for the month of June are presented below. June 1Issues common stock to investors in exchange f
    8·1 answer
  • To help finance a new plant, Roxxon, Inc. just sold a noncallable 40 year bond. This $1,000 par bond sells for $1,155 and has a
    15·1 answer
  • In a decentralized organization:________.a) lower-level managers should not be held accountable for the outcomes of their decisi
    10·1 answer
  • If the price level decreases,
    13·1 answer
  • Steve Reese is a well-known interior designer in Fort Worth, Texas. He wants to start his own business and convinces Rob O’Donne
    5·1 answer
  • A double-entry accounting system is an accounting system: Multiple Choice That records each transaction twice. That records the
    12·1 answer
  • The United States Army retains a history of all equipment acquisition from approval of requirements through funding, authorizing
    14·1 answer
  • What is the variance of returns of a portfolio that produced returns of 20%, 25%, and 30%, respectively
    8·1 answer
  • In the current year, a company paid interest of $40,000, had net capital expenditures of $300,000, and issued net new debt of $7
    5·1 answer
  • Why do you think people invest their money in options other than those with the highest returns (highest % interest)?
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!