Answer:
The answer is significantly.
Explanation:
Oligopoly is a market situation in which there are few sellers, selling similar goods and services and many buyers. The barriers to entry in this market in high. Example of a oligopoly market is OPEC.
The competition amongst the few sellers is high because they are selling the same thing and a change in price by one firm will significantly affect other firms in the industry. For example, if a firm reduces the price of its goods, this creates a price war and other firms to start reducing their price to match the lower price. And if another firm increases its price, consumers will switch to competitors
Answer:
A) according to put call parity:
price of put option = call option - stock price + [future value / (1 + risk free rate)ⁿ]
put = $6.93 - $125 + [$140 / (1 + 5%)¹/⁴] = $6.93 - $125 +$138.30 = $20.23
B)
you have to purchase both a put and call option ⇒ straddle
the total cost of the investment = $6.93 + $20.23 = $27.16, this way you can make a profit if the stock price increases higher than $125 + $20.23 = $145.23 or decreases below than $125 - $20.23 = $104.77
Maybe a product didn’t work out, a bad review from a customer or client, health inspections didn’t pass etc..
Answer:
$4.44 per machine hour
Explanation:
The computation of the activity rate for the fabrication cost pool is shown below:
= (Wages and salaries × given percentage + depreciation × given percentage + occupancy × given percentage) ÷ (fabrication hours)
= ($280,000 × 60% + $200,000 × 20% + $140,000 × 10%) ÷ (50,000 machine hours)
= ($168,000 + $40,000 + $14,000) ÷ (50,000 machine hours)
= $4.44 per machine hour
