A rule that allows financial institutions to calculate simple interest using 360 days in a year is called the

The price of a European call option on a non-dividend-paying stock with a strike price of $50 is $6. The stock price is $51, the

klemol [59]

Answer: 2.09

Explanation:

Given the following ;

Strike price (K) = $50

Price (c) = $6

Rate (r) = 6% = 0.06

Stock price (So) = $51

Time (T) = 1

Recall, relation for a put-call parity(p) is given by:

p + So = c + Ke^-(rT)

p = c + [Ke^-(rT)] - So

p = 6 + [50e^-(0.06 × 1)] - 51

p = 6 + [50×e^-0.06] - 51

p = 6 + (50 × 0.9417645) - 51

p = 6 + 47.0882267 - 51

p = 53.0882267 - 51

p = 2.0882267

p = 2.09

4 0

3 years ago

n the context of the strategies for selecting target markets, which of the following is a disadvantage of undifferentiated targe

algol [13]

Answer:

The correct answer is b. It makes a company more susceptible to competitive inroads.

Explanation:

Market segmentation is essential to know how is the public that makes up the market in which we are. There are a number of advantages and disadvantages of market segmentation that you should keep in mind, before venturing into such a study for your company.

Errors when establishing the segment

The first and main disadvantage of including market segmentation techniques is the wrong selection of a segment.

Keep in mind that if the company chooses a wrong market fraction, too small or irrelevant for the company's business, then the business will find it difficult to market its product.

Commercial Saturation Issues

Another drawback derived from this strategy is to enter a market segment in which there is strong competition and saturation. When we are about to create a company or product we must take into account the development possibilities we have in that market.

3 0

3 years ago

I am a rational and risk-averse person, and I have an option of making the following bet: I receive $500 cash, after which I rol

Tamiku [17]

Answer:

I should not accept the bet; the precise level of risk aversion does matter.

Explanation:

Risk averse person is the one who is not willing to take the risk even if he is given high returns. Risk averse person will always avoid the risks. In the given scenario the person is risk averse. If he rolls out the dice he has to pay $200 times the dice number which means he just have two chance (dice rolls 1 or dice rolls 2) for getting return otherwise he will loose the bet and he will have to pay money from the pocket.

4 0

3 years ago

Excessive alcohol consumption can lead to liver failure, as well as deterioration of other organs. Suppose the government has op

telo118 [61]

Answer:

C. The ability-to-pay principle.

Explanation:

According to my research on different tax methods, I can say that based on the information provided within the question this tax follows the ability-to-pay principle. This principle states that taxes should be levied according to a taxpayer's ability to pay. Since the tax in this situation is being placed on liquor, which is not a necessity, then it can be said that the buyer has the ability to pay the tax.

I hope this answered your question. If you have any more questions feel free to ask away at Brainly.

6 0

3 years ago

Can people who disagree about normative ethical theory still reach agreement on practical ethical questions in the business worl

Archy [21]

<u>Answer: </u>

Yes, people who disagree about normative ethical theory can still reach an agreement on practical ethical questions in the business world.

<u>Explanation: </u>

Most individuals associated with any form of business have their own theories devised of ethical behavior.
Even if some people choose to disagree with the normative ethical theory, they cannot ignore the practical ethical questions in the business world.
Such people modify their own ways of tackling the problems regarding business ethics which prove effective sometimes and sometimes do not.

5 0

3 years ago