Answer:
Disability insurance is insurance against the loss of income.
Explanation:
Answer:
$400
Explanation:
From the question, there is a butterfly spread when a trader buys 100 options with strike prices $60 and $70 and sells 200 options with strike price $65.
The maximum gain is the point where both the stock price and the middle strike price are equal, i.e. equal to $65. At that point, the options payoffs are respectively $500, 0, and 0. By implication, the total payoff is $500.
The set up cost of the butterfly spread can be calculated as follows:
Setup cost = ($11×100) + ($18×100) – ($14×200)
= 1,100 + 1,800 – 2,800
Setup cost = $100
Net gain = Options payoffs – Setup cost = $500 - $100 = $400
Therefore, the maximum net gain (after the cost of the options is taken into account) is $400.
Answer:
the finances necessary for firms to produce their products
Explanation:
It is main place
Answer:
The principal balance is $99,722.23
Explanation:
For computing the principal balance, we need the following calculation which is shown below:
1. First we have to compute the 1 month interest payment which equals to
= Note amount × rate × 1 month ÷ total months in a year
= $100,000 × 7.5% × 1 ÷ 12
= $625
2. Now deduct the first month interest from installment amount which equals to
= Installment amount - Interest amount
= $902.77 - $625
= $277.77
3. Now subtract step 2 amount from notes amount which equals to
= Notes amount - principal amount
= $100,000 - $277.77
= $99,722.23
Hence, the principal balance is $99,722.23
Product price and average total cost.