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Nataliya [291]
3 years ago
5

Assume that a speculator purchases a put option on British pounds (with a strike price of $1.50) for $.05 per unit. A pound opti

on represents 31,250 units. Assume that at the time of the purchase, the spot rate of the pound is $1.51 and continually rises to $1.62 by the expiration date. The highest net profit possible on the option for the speculator based on the information above is:a.$1,562 b. -$1,562 c. -$1,250 d. -$1,250 e. None of the above
Business
1 answer:
ratelena [41]3 years ago
6 0

Answer:

b) -$1,562

Explanation:

The speculator has the chance for sale at 1.50 because the price rises instead of decrease, it is losing money.

The speculator does not use their right to sale at 1.50

It will simply lose the value on which purchase the put option

0.05$ per unit  x 31250 units  = 1562.5

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Mariana [72]

Answer:

=260 units.

Explanation:

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6 0
3 years ago
B2b purchases involving long-term contracts developed through negotiations are called:_____.
Strike441 [17]

Strategic sourcing involves the business to business purchases that involved long term contracts through negotiations.

Given an incomplete sentence related to B2B purchases.

We are required to fill the sentence with appropriate term related to B2B purchases.

B2B purchases are the purchases which happens between two or more businesses.

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The term which is suitable for the B2B purchases involving long term contracts developed through negotiations is strategic sourcing.

Strategic sourcing is basically a procurement process that connects data collection, spend analysis,market research , negotiation and contracting.

Hence strategic sourcing involves the business to business purchases that involved long term contracts through negotiations.

Learn more about strategic sourcing at brainly.com/question/14652019

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5 0
1 year ago
A producer of felt-tip pens has received a forecast of demand of 41,000 pens for the coming month from its marketing department.
VladimirAG [237]

Answer and Explanation:

The computation is shown below:

a. The break even quantity is

= Fixed cost ÷ (selling price per unit - variable cost per unit)

= $26,000 ÷ ($1 - 0.35)

= $26,000 ÷ 0.65

= 40,000

b. The price is

Let us assume the price per pen  be x

As we know that

Profit = Revenue - costs

$16,000 = (x)(41,000) - $26,000 - .35(41,000)

$16,000 = 41,000x - 40,350

$56,350 = 41,000x

x = $1.37

5 0
3 years ago
The belief that capital punishment is now unconstitutional because society has changed is an example of what doctrine? A. Evolvi
Tasya [4]
A. Evolving standard??
7 0
3 years ago
Agnes plans to file for bankruptcy under Chapter 7. One month prior to filing, Agnes gives Joe's Filling Station $700 to apply t
frez [133]

Answer: D

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7 0
3 years ago
Read 2 more answers
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