Answer:
a. You should short the contract to hedge the portfolio.
b. You should enter 19 contracts.
Explanation:
a) According to the given becuase we own portfolio ( underlying), we need to sell future contracts in order to hedge. So short the contract to hedge the portfolio.
b. To calculate how many contracts should you enter we would have to use the following formula:
number of contract required = (beta * portfolio value) / (beta of futures"Index value * multiplier)
Therefore, N = 0.7*10,000,000 / (1*1500*250) = 18.67 = 19 contracts
You should enter 19 contracts
Answer: Internal auditor
Explanation: Internal auditor refers to the audit professionals in an organisation. The internal auditor ensures that the operations of the business are within the boundaries of laws and regulations made.
In the given case, Morris was evaluating the financial statements and detected that employees funds are not managed as per the regulations. He also reports the violation to his supervisors.
Hence we can conclude that Morris is an internal auditor.
Answer:
Carrier network infrastructure problems generally involve complications with the network system of telecommunications services used to transmit data over a distance.
Explanation:
APEX Verified
Answer:
There is a decrease in monthly net operating income of $16,000
Explanation:
Consider Incremental Revenues and Costs as a result of the introduction of the sales commissions.
Sales Commission ( 8,200 units × $11) ($90,200)
Decrease in Monthly Salary $74,000
Net Income ($16,000)
There is a decrease in monthly net operating income of $16,000