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3 years ago

7

If Lilly did not own a lumberyard, she would earn $115,000 per year as a store manager for Home Depot. Lilly's Lumberyard had an

economic cost of _____ and an economic profit of _____.

1 answer:

sesenic [268]3 years ago

5 0

Answer:

Explanation:

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Rainey Enterprises loaned $20,000 to Small Co. on June 1, 2018, for one year at 6 percent interest. Required Show the effects of

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Answer:

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Explanation:

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3 years ago

A stock is selling at $40, a 3-month put at $50 is selling for $11, a 3-month call at $50 is selling for $1, and the risk-free r

aalyn [17]

Answer:

$0.745

Explanation:

GIven that

Current stock price $S_o$ = $40

strike price X = $50

time to expiry of option = 3 - month

put price option $P _o$ = $11

call price option $C_o$ = $1

and the risk-free rate r = 6%

The amount that can be made on the arbitrage can be evaluated as a function of the Put-call parity.

i.e For parity ;

$C_o + (X \times e^{-rt} ) = P_o + S_o$

$1 + (50 \times e^{-(0.06 \times 0.25} ) = 11 + 40$

$1 + (50 \times 0.9851 ) = 51$

$1 + (49.255 ) = 51$

50.255 = 51

the difference in both values above illustrates that there is no parity taking place and the arbitrage estimation here = 51 - 50.255 = $0.745

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Suppose that in a year an American worker can produce 100 shirts or 20 computers and a Chinese worker can produce 100 shirts or

Alexeev081 [22]

A ....................

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4 years ago

Which is a true statement about money market accounts, checking accounts,

kolbaska11 [484]

Answer:

D

Explanation:

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3 years ago

____ 16. a decrease in the price of domestically produced nuclear reactors will be reflected in

beks73 [17]

Answer: C). the GDP deflator but not in the consumer price index.

Explanation:

GDP deflator is a measure of the prices of all the goods and services produced in a country. While, the CPI is a measure of only the goods that are purchased by the residents of a country. In addition to this, GDP deflator includes only goods produced domestically and not foreign goods. While, CPI includes prices of all the good that consumers buy including foreign goods.

Thus, a decrease in the price of domestically produced nuclear reactors will be reflected in the GDP deflator and not in the CPI.

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3 years ago