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aleksandr82 [10.1K]
3 years ago
8

he price of a non-dividend paying stock is $55 per share. A 6-month, at the money call option is trading for $1.89. If the annua

l interest rate is 6.7%, what is the price, based on put-call parity, of a European put at the same strike and expiration?
Business
1 answer:
scoray [572]3 years ago
4 0

Answer:

$0.135

Explanation:

To solve the following, we should use the following method

For us to be able to determine the price base on put call parity

The formula for put call parity is gives as c + k = f +p, meaning the call price plus the strike price of both options is equal to the futures price plus the put price.

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TDS Corporation updates its five-year plan annually to take into account changing conditions within the organization and in the
andreev551 [17]

Answer:

c. rolling plan

Explanation:

The rolling plan is the plan which is to be reviewed and updated on daily basis or we can say it is a flexible plan which can be changed according to the conditions arrived or as per the environment

So according to the given scenario,  TDS Corporation updates its five-year plan annually which can be updated or revised so it could be term as a rolling plan

8 0
4 years ago
In 2020, Quapau Products introduced a new line of hot water heaters that carry a one-year warranty against manufacturerâs defect
wariber [46]

Answer:

$18,000

Explanation:

The computation of the warranty expense for the year 2021 is shown below:

Estimated warranty expense = Actual Sales × Actual claims  percentage

= $450,000 × 4%

= $18,000

We simply multiplied the actual sales with the percentage of the actual claim so that the estimated warranty expense could come and the same is shown above

6 0
3 years ago
Which managerial function involves setting goals, establishing a strategy to pursue those goals, and forecasting future threats
loris [4]

Answer:

A. Planning

Explanation:

There are five types of management functions i.e planning, organizing, staffing, directing and planning.

The planning refers to the make out a plan how to accomplish the company goals and objectives with the help of making strategy so it is easy for company to reach it also at the same time it forecast the swot analysis i.e (strength, weakness, opportunities, and threats) that affect the needs and strategies of the company

Hence, the correct option is A

8 0
3 years ago
Sophie's credit card has an APR of 19 percent. What is the periodic rate?
In-s [12.5K]

Her daily periodic interest rate is 0.05%, her monthly periodic interest rate is 1.58%, and her semiannually periodic interest rate is 9.5%.
APR stands for the annual percentage rate of an interest rate of a person. The periodic interest rate is the portion of an annual percentage rate based on a specified period such as daily, monthly, and semi-annually. The Periodic interest rate is calculated by dividing the APR by the specified period such as 365 for the daily period, 12 for the monthly period, and 2 for the semi-annual period<span>.</span>
3 0
3 years ago
Air bags are designed to __________. A. cushion impact in a collision B. work without passengers having to buckle up C. deploy a
goblinko [34]
All airbags deploy. That's what I think anyway.
6 0
3 years ago
Read 2 more answers
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