Answer:
A) according to put call parity:
price of put option = call option - stock price + [future value / (1 + risk free rate)ⁿ]
put = $8.89 - $120 + [$120 / (1 + 8%)¹/⁴] = $8.89 - $120 +$117.71 = $6.60
B) you have to purchase both a put and call option ⇒ straddle
the total cost of the investment = $8.89 + $6.60 = $15.496, this way you can make a profit if the stock price increases higher than $120 + $6.60 = $126.60 or decreases below than $120 - $6.60 = $113.40
It's true investing in stocks and bonds is risky because it is possible to lose all or part of your principal.
Investors are unlikely to demand the same returns on their stock investments year after year. Market yields can be expressed as the sum of government bond yields and market risk premiums.
Yes. If you sell bonds before their maturity date, you may incur a loss as the sale price may be lower than the purchase price. Also, if an investor purchases a bond and the company faces financial difficulties, the company may not be able to return all or part of the original investment to the bondholders.
Learn more about bonds at
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Present value PV= FV(1/(1+r)^n)
PV = Present Value
FV = Future Value
r= rate
n= number of years
Just plug in the numbers and calculate.
Product design but I’m also a little convinced it’s also product layout
Answer:
too crowded. better to be happy alones at homes with computers. unless you got a big home with a lot of rooms and can still be alones
