Risk aversion is the behavior in someone when they are exposed to uncertainty and are unsure of something due to being uncertain about it.
In this case, reluctant for taking changes when making investment best describes risk aversion from an economics stand point. If someone isn't sure the return on investment they would get from investing or the risks associated with investing in something, they are more hesitant to do that.
Answer: $2
Explanation:
From the question, we are informed that an investor purchases a stock for $38 and a put for $.50 with a strike price of $35 and that the investor sells a call for $.50 with a strike price of $40.
The maximum profit for this position will be the purchase price of the stock deducted from the strike price of call option. This will be:
= $40 - $38
= $2
The answer is: d. interest on deposits
Interest on deposits refers to the amount of interest payment that the banks would give to account owner for keeping a certain amount of balance in their institutions. The number of this interest is usually really small, (on average it is usually around 0.01%)
dotnt ask me about high school stuff
There are a lot of things that need to be included in a budget, but the two basics are income and liabilities. The reason for a budget is to ensure that you have enough money coming in to pay all your liabilities (aka bills) and have enough to reinvest into your business. You will need to include all your expected income for the budget period and all expenditures such as rent, utilities, payroll, taxes, etc.
Once you have established your budget, it is important for you as a business owner to stick to it.
