Answer:
<u>Future Price</u>
F0: 126.89
F3: 113.13
F4: 113.41
<u>Value of the contract:</u>
a) zero (by definition)
b) -13
c) -13
Explanation:
<em>forward price:</em>

being S the spot rate
time 9 months and
rate 2% <u>continuous componding</u>
As the rate is continuous we calculate using the e number instead:


F = 125 x 1.015113065
F = 126.8891331 = 126.89
<u>3th month into the contract:</u>

F = 113.1256187 = 113.13
<u>4th month</u>

F = 113.4087866 = 113.41
<u>value of the contract</u>
at third month:
Vt = St - F0
Vt = 112 - 125 = -13
at fourth month
Vt = 112 - 125 = -13
I guess the correct answer is business acumen.
Jacob is the human resource manager at Platinum Corp. He clearly understands the company's strategy. He has a solid understanding of business principles, and he applies these to help the HR department contribute to Platinum's success. This scenario indicates that Jacob has competency in the area of business acumen.
Answer:
Dr amortization expense $14,500
Cr Copyright asset $14,500
Dr amortization expense $6,250
Cr Patent asset $6,250
Explanation:
First of all,a goodwill with an indefinite life is not depreciable,hence no adjusting journal entries would be prepared in respect of the goodwill.
However,the copyright would be amortized using the lower of useful life of 6 years and legal life of 30 years,the amortization expense for the year is shown below:
amortization charge=$87,000/6 years=$14,500
The patent is to amortized in the way as the as the copyright the lower of useful life and legal life.
amortization charge=$30,000/4 years*10/12=$6250
The patent was only used for 10 months in the year
Answer:
six months
Explanation:
Restricted shares are form of securities that are gotten in private sales, from an affiliate of the issuer or through an issuing house. Basically, restricted securities are a form of compensation given to investors in exchange for providing start up capital to a company hence are issued through employee stock benefit plans, private placements, regulation offerings etc.
According to rule 144, before an investor could sell any restricted securities in the market place, such securities must be held for a certain period of time, usually six months for a reporting company, who is subject to the reporting requirements of SEC 1949.
However, where the issuer of the securities is not subjected to reporting requirements of SEC, then the investor could hold them for a period of one year.