Answer:
The correct answer is letter "B": The "Special Statement for Uncovered Options Writers" must be provided before executing the transaction.
Explanation:
A naked call is a type of strategy options traders use when writing a call option without owning the underlying assets. For this to be possible, the trader must sign an options agreement and the Registered Options Principal (ROP) must approve the account so the trader can write naked options.
Before proceeding the "<em>Special Statement for Uncovered Options Writers</em>" must be provided.
Answer:
the net present value of the investment is
$15289,6
Explanation:
VPN=INVESTMENT+SUM(FT)/(1+K)>N
VPN=150000+80000/(1+10%)++75000/(1+10%)>2
VPN=-150000+72727+61983,4
VPN=15289,6
Answer: The correct answer is d. None of the above is correct.
Explanation: The intercompany gain realized would be recognized in the parent company's financial statements while at the consolidated position, the gain will be eliminated. For the parent to have recognized a gain on the capital asset, that means the proceed from sale was more than the net book value of the asset. So, there is no consolidated taxable income as regards this gain.
The $50,000 gain will be recognized by the subsidiary since it was sold to a nonmember of the group. However, it will not be nil at the consolidated position because it is not an intercompany transaction.
Answer:
C.
Explanation:
Therapeutics, Support Services, and Diagnostics
Answer:
A liability account in the balance sheet.
Explanation:
When rent is collected in advance, the entries required to be recognized at the point of collection is as follows;
Debit Cash account
Credit Unearned/Deferred rental revenue
The cash account is an asset while the Unearned/Deferred rental revenue is a liability account.
As such, the collection of rent in advance is A liability account in the balance sheet.
