Answer:
a) $ 495
b) $ 530
c) $ 30
d) $ 70
Explanation:
Given:
Stock price = $ 495
Strike prize = $ 530
a) The maximum possible price of a call option on Amazon is the stock price,
thus, the answer is $ 495
b) the maximum possible price of a put option on Amazon is the strike prize, thus, the answer is $ 530
c) given:
strike price = $ 465
now,
Minimum possible value of call option is given as :
⇒ Stock price- strike price
on substituting the values, we get
⇒ $ 495 - $ 465
or
⇒ $ 30
thus,
answer is $ 30
d) Given:
strike price = $ 565
Minimum possible value of an american put option on amazon stock is calculated as:
⇒ Strike price- stock price
on substituting the values, we get
⇒ $ 565 - $ 495
or
= $ 70
hence, the answer is $ 70
Answer: B.Marginal cost is the money paid for producing one more unit of a good. Marginal revenue is the money earned from selling one more unit of a good.
Explanation: The money or expenses incurred in the production of a good or service is called cost. Marginal cost simply refers to the cost incurred in producing one more unit of a product or service. Revenue on the other hand refers to the money earned from selling a company's product. Therefore, marginal revenue refers to the amount a producer makes or earns from selling one more unit of a product.
The statement which does not accurately describe the lower of cost or net realizable value valuation method for inventory is:
- <u>C. The journal entry to write down inventory does not affect pretax income</u>
Inventory has to do with the accurate listings of the goods which a business has in stock for purposes of selling. This is important because it helps to prevent theft and also to properly calculate profit and loss.
As a result of this, we can see that the lower of cost method for making inventory is a type of inventory which states that a business must have records of goods which cost lower than their current market pricing and this is used when there is a reduction in market prices
Therefore, the correct answer is option C because the journal entry does not show the pretax earnings.
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brainly.com/question/16343423
<span>Streaming media uses incredible amounts of data, since each pixel shown on the screen is a single piece of 'data', and the higher the resolution the greater amounts of data required. The answer is false.</span>
Answer:
Dividends payout ratio: 59.375%
Explanation:
Dividends payout ratio: the proportion of the earnings which are distributed among the shares.
<u>Dividends per share:</u> 2 dollars
<u>Earning per share:</u>
net income / average outstanding shares:
income 190,000
average outstanding shares: (140,000 + 180,000)/2 = 160,000
190,000/160,000 = 1.1875
Dividends payout ratio:
1.1875/2 = 0.59375 = 59.375%