1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Natali5045456 [20]
3 years ago
13

4. Suppose you hold a PUT option on Israeli shekels with a strike price of 3.4207s/$. If the spot rate on the final day of the o

ption is 3.4329s/$, how much profit would you make trading $1,000,000? Should you do it?
Business
1 answer:
Anon25 [30]3 years ago
8 0

Answer:

Profit $3,567

I would exercise my option by buying the shares before the expiration .

Explanation:

Calculation of how much profit would you make trading $1,000,000

First step is to multiply the spot rate on the final day by the trading amount

3.4329s*$1,000,000

=$3,432,900

Second step is to divide the spot rate option by the strike price

3,432,900/3.4207

=$1,003,567

Last Step is to find the profit

Profit =$1,003,567-$1,000,000

Profit=$3,567

Therefore the amount of PROFIT you would make trading $1,000,000 will be $3,567

Based on the above calculation I would exercise my option by buying the shares before the expiration .

You might be interested in
Everdeen Inc. has a 90-day operating cycle. If its average age of inventory is 35 days, how long is its average collection perio
mart [117]

Answer:

8.6 days

Explanation:

The formula for average collection period

= Average received turnover ratio / 365 daya

= 90 × 35 / 365

= 8.6 days

5 0
3 years ago
Specialization:
AysviL [449]

Answer:

Specialization can lead to an increase in overall production

Explanation:

We specializes in something we are skilled at and will become better at and so we will be able to produce more of that goods and services

8 0
3 years ago
Lipstik, Inc. makes cosmetics. Lipstik intentionally mislabels its packaged products to conceal a defect. Trusting and relying o
Zanzabum

Answer:

Fraud.

Explanation:

Fraud is defined as intentional misrepresentation aimed at gaining unlawful advantage or to deprive a victim of a legal right.

In civil law the victim can file for recovery of money, while in criminal law the fraud perpetrator may be committed to prison.

Lipstik intentionally mislabels its packaged products to conceal a defect, and gains unfair advantage by selling these defective goods to customers. Mikayla buys the lipstick based on the misrepresented information on the label and gets injured.

8 0
2 years ago
Who did publisher Henry Luce credit with the provision of “the abundant life” in his blueprint for postwar prosperity, The Ameri
Ratling [72]

Answer:

The correct answer is d. Free enterprise.  

Explanation:

Henry Robinson Luce was known as an American publisher and journalist. They gave him the name of  "the most influential private citizen in the America of his day". This magnate published  what is called “The American Century.” “The American Century” also showed “the vision of America as the dynamic leader of world trade,” and this guy Henry Luce could not have fathomed any economic basis for national leadership besides “free enterprise.”

8 0
3 years ago
Wrigley introduced a new flavor of Orbit brand sugar-free chewing gum, mint mojito, and its introductory price was low so that i
Julli [10]

In this example, Wrigley used the Penetration pricing.

Penetration pricing is one of marketing strategy which aims to attract potential customers by offering lower price as its initial offering.

This pricing strategy helps a new product or service to penetrate the market and attract customers because of the low price offered.

In the question, the introductory price for chewing gum, mint mojito were set low and aims to attract new customers to the product.

In conclusion, Wrigley used the Penetration pricing to attract new customers.

Read more about this here

<em>brainly.com/question/3521758</em>

3 0
2 years ago
Other questions:
  • _____________ is the new-product development phase where hope springs decides that the flavor additive has enough market interes
    10·1 answer
  • George operates a business that generated revenues from services of $50 million in 2019 and reported deductible expenses other t
    12·1 answer
  • A think local, act local multidomestic strategy works particularly well when A. D) there are few country-to-country differences
    15·1 answer
  • g Texas Corporation purchases a piece of equipment on January 1 for $300,000 and the equipment has an expected useful life of te
    11·1 answer
  • The manager of a major retail store has taken a random sample of 25 customers. The average sale was $52.50. The population stand
    14·1 answer
  • The _____ was developed to review workforce needs and make recommendations to the federal government to ensure that national pol
    9·1 answer
  • Jon recently stopped a conflict with his girlfriend, Ana, and said to her, "You don't know how to have a disagreement without lo
    7·1 answer
  • Jerrod is relatively new to Xenon Corporation and wants to make sure that he makes a good impression on his coworkers and superv
    15·1 answer
  • In the business world, you need this trait so you can stay ahead of the competition. independence risk-taking self-assurance con
    7·1 answer
  • The easiest way to break password security on a windows 2000 or later machine is to use a ____ program which can set the adminis
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!