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Aleks [24]
3 years ago
12

You own a lot in Key West, Florida, that is currently unused. Similar lots have recently sold for $1,260,000. Over the past five

years, the price of land in the area has increased 8 percent per year, with an annual standard deviation of 37 percent. You have approached a buyer and would like the option to sell the land in 12 months for $1,410,000. The risk-free rate of interest is 4 percent per year, compounded continuously. What is the price of the put option necessary to guarantee your sales price

Business
1 answer:
Kamila [148]3 years ago
7 0

Answer:

Explanation:

find the solution below

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A company with $60,000 in current assets and $35,000 in current liabilities pays a $1,000 current liability. As a result of this
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Increase and remain the same respectively

Explanation:

Given the above information, we know that current ratio is computed as;

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