Answer:
$930.89
Explanation:
The Notional value of position = Price of S&P-500 index future x Contract multiplier x no. of contracts
= 950x250x10
=$2,375,000
Margin = Total nominal value of position x Initial margin
=2375,000x10%
=$237,500
b) Maintenance margin = Initial margin x Maintenance margin
=237500 x 80%
=$190,000
Margin call will be receive when value of the Initial margin falls below maintenance margin
Thus 237500e^0.06/52 + (St -950) x250 x10 <190,000
From here St = price at which margin call will be made
=237500e^0.0011538 + (St -950) x 2500 <190,000
=237500(1.0011538) + (St -950) x 2500 <190,000
=237774.04 + (2500St - 2375000) < 190,000
=2500St - 2137226 <190,000
= 2500St <2327226
St < 930.89
Thus price below $930.89 will be called maintenance margin.
Explanation:
There are no deficits or surpluses in terms of output, no obstacles to the entry or exit of businesses on the market, and the number of customers is so high that it is only the economic demand that decides the value of the products in the market. Thus, the reality is that the market is completely open. All producers earn normal profit and both manufacturers and consumers accept the commodity price.
In comparison, a monopoly market competition can be defined as a business environment where one entity or group of companies dominates the supply market and thus controls output factors. In this case, the monopolist decides the price of the goods on the market, as the competition is always strong. Free entry or departure from companies is not allowed in a monopolistic competitive market.
The short-term and long-term production or profitability are the same in the case of a fully competitive market. Since the production factors are often under control and fully meet the demand and supply of the market. In the shorter term and that in the long run, a perfect competition business will see stable and strong economic growth. In the case of a business or corporation which is fully competitive, there is no distinction between the competitors ' profit margins and all companies have the same rate of profit.
Answer:
d) $347 U
Explanation:
The computation of the spending variance for food and supplies in March is shown below:
= Flexible budget - actual budget
where,
Flexible budget is
= $1,200 + $3,340 × $13.70
= $1,200 + $45,758
= $46,958
And, the actual budget is $47,305
So by considering the above calculation, the spending variance is
= $46,958 - $47,305
= $347 unfavorable
Answer:
My Phone
Explanation:
Flaw: Its picture quality isn't that good and it doesn't have a 4G
Solution: its manufacturers should improve more on production of new phones that will have 4G and a good camera.
Utility added: Possession utility
D is the answer.
Both countries provide needs for each other and will have a strong bond.
