1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Vlad1618 [11]
4 years ago
11

A put on XYZ stock with a strike price of $40 is priced at $2.00 per share, while a call with a strike price of $40 is priced at

$3.50. What is the maximum per-share loss to the writer of the uncovered put and the maximum per-share gain to the writer of the uncovered call
Business
1 answer:
r-ruslan [8.4K]4 years ago
7 0

Answer:

Loss = $38

Gain = $3.5

Explanation:

The calculation of maximum per-share loss and maximum per-share gain is shown below:-

Maximum loss = Exercise price - Premium received

= $40 - $2

= $38

So, the maximum per share loss is $38

Maximum gain = Premium received

= $3.5

So, the maximum per share gain is $3.5

We simply applied the above formulas to determine each part

You might be interested in
Ford Motor Company has a 1.40 beta. If the overall stock market increases by 8 percent, how much will Ford change?
oksian1 [2.3K]

Answer:

11.2

Explanation:

Your formula would be I = Overall market increased * Beta

"I" being Fords increase

so just plug in and solve

So your volatility would be 11.2

6 0
3 years ago
Control limits come from :__________
vovikov84 [41]

Answer:

e

Explanation:

6 0
2 years ago
When you walk into a business and decide that you might want the job but then you really see what the people do and your like i
aivan3 [116]

Your own personal reason

or the owner sees that you are not fully onboard with the businesses purpose and might not want to hire you for that reason

7 0
3 years ago
Which factors will most likely affect revenues and profits
Aliun [14]

The factors that will most likely affect revenues and profit include the number of production units, direct costs, and the production per unit.

<h3>What is revenue?</h3>

It should be noted that revenue simply means the income that a company can make based on the sales of a product.

Revenue in accounting refers to the entire amount of money made through the sale of products and services that are essential to the company's core operations. Sales or turnover are other terms used to describe commercial revenue. Some businesses make money from royalties, interest, or other fees.

In this case, the factors that will most likely affect revenues and profit include the number of production units, direct costs, and the production per unit.

Learn more about revenue in:

brainly.com/question/25623677

#SPJ1

6 0
2 years ago
The Sarbanes-Oxley Act of 2002 was primarily aimed at which functional unit of a corporation? Marketing Production Sales IT Fina
Alla [95]

Answer:

The Sox Act was  a federal law that established sweeping auditing and financial regulations for public companies. Lawmakers created the legislation to help protect shareholders, employees and the public from accounting errors and fraudulent financial practices.

Explanation:

6 0
3 years ago
Other questions:
  • Tamarisk Co. both purchases and constructs various equipment it uses in its operations. The following items for two different ty
    15·1 answer
  • Francesca withdrew $7,000 from B shares that she owned in the Already Been Counted mutual fund within one year of her purchase.
    15·1 answer
  • Batson Company produces Trivets. Based on its master budget, the company should produce 2,500 Trivets each month, working 4,000
    8·1 answer
  • Stellar Corporation made credit sales of $26,400 which are subject to 5% sales tax. The corporation also made cash sales which t
    14·1 answer
  • Miller Mining, a calendar-year corporation, purchased the rights to a copper mine on July 1, Year 1. Of the total purchase price
    5·1 answer
  • Mason Company uses activity-based costing and has the following costs: machine setup $25,000; machine repair $10,000; selling ex
    13·1 answer
  • Whcih of the following is true?
    14·1 answer
  • Mark is trying to sell a metal-bending machine to a manufacturing firm. He decides to talk to people inside the firm who have ex
    15·1 answer
  • which propaganda technique is being used in the following statement? ""the cure-all competitor is not qualified to be pain medic
    5·1 answer
  • Jessica has intrinsic job satisfaction, because she enjoys the tasks she does at work each day. Please select the best answer fr
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!