Answer: 11.59
Explanation:
From the question, we are told that the stock price a year from now will be either $130 or $90 with equal probabilities. This means that the prices have a 50% chance of occuring.
Therefore, the value of a call option with an exercise price of $110 and an expiration date 1 year from now should be worth:
= 0.5[(105 - (90/1+0.10)]
= 0.5(105 - 81.82)
= 0.5(23.18)
= 11.59
Answer:
Credit to Cash Overage for $5,500
Explanation:
Revenue total is $120,500 so the revenue will be recorded by this amount and the cash is $126,000 so it will also recorded by the same amount. An additional credit entry will be placed to reflect the effect of this transaction.
The journal entry to record the day's sales would include
Debit Cash $126,000
Credit Cash Overage $5,500
Credit Sales $120,500
Explanation:
In this case, Joe and his team are likely to face a known risk, which is configured as a risk that the project manager knows exists, exemplified in the question as the team's concern about a very expensive and time-consuming product to produce.
When the risk is known, it is possible for professionals to be able to identify and plan actions in advance to find solutions to this type of risk.
Therefore, it is necessary that in every project there is an area dedicated to risk management, because in every project there are internal and external factors that can influence or change the life cycle of a project. The importance of identifying such factors and their causes is an important step in risk management.
Answer:
$3,122.96
Explanation:
Future value = 5000
i = 8%
n = 6
m = 2
Present Value = FV(1+i/m)^mn
Present Value = 5,000(1+0.08/2)^-2*6
Present Value = 5,000(1.04)^-12
Present Value = 5,000 / (1.04)^12
Present Value = 5,000 / 1.6010322
Present Value = 3122.985284118583
Present Value = $3,122.96
Answer:
controlling, organizing, planning and leading.
Explanation:
When Riley learns all that it takes to be a manager, he will be involved in controlling, organizing, planning and leading.
The four main pillars of human resource managing which are expected by he company:
Controlling
Organizing
Planning
Leading
Other objectives like motivation,marketing comes secondary for HR managers and are focused on by other managerial positions.