Answer:
Cash Received during the period = $155200
Explanation:
The amount of receipts or cash received during the period can be calculated using the following formula.
Cash Received = Closing Balance + Cash Disbursements - Opening Balance
Cash Received = 67200 + 128000 - 40000
Cash Received = $155200
So, the cash receipts during the period are $155200.
A contract known as an option grants the buyer the right, but not the duty, to purchase or sell an underlying asset (such as a stock or index) at a given price on or before a particular date (listed options are all for 100 shares of the particular underlying asset).
<h3>What is an option? Explain.</h3>
An option is a contract that grants the buyer the right, but not the responsibility, to buy the underlying asset (in the case of a call) or sell it (in the case of a put) at a certain price on or before a specific date.
Options are used by people for revenue, speculation, and risk hedging.
Because they draw their value from an underlying asset, options are classified as derivatives.
A stock option contract normally entails 100 shares of the underlying stock, but other underlying assets, such as bonds, currencies, or commodities, are also acceptable.
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Answer:
The present value of your winnings is <u>$1,959,555.65</u>.
Explanation:
Since this is an annuity due as already hinted in the question, the formula for calculating the present value (PV) of an annuity is used as follows:
PV = P × [{1 - [1 ÷ (1 + r)]^n} ÷ r] × (1 + r) .................................. (1)
Where ;
PV = Present value of winnings =?
P = Annual payment = $200,000
r = interest rate = 9.25%, or 0.0925
n = number of years = 20
Substituting the values into equation (1) above, we have:
PV = $200,000 × [{1 - [1 ÷ (1 + 0.0925)]^20} ÷ 0.0925] × (1 + 0.0925)
PV = 200,000 ×8.96821807613347 × 1.0925
PV = $1,959,555.65
Therefore, the present value of your winnings is <u>$1,959,555.65</u>.
Answer:
sorry po hindi ko po alam pag alam ko po sasabihin ko po sa inyo promise