Answer:
a.) The proportional up movement , u, for the currency can be calculated using the following formula:
u = eStd Dev * Square root of t
u = e0.06*square root of 0.25
u = 1.0305
b.) Probability of up movement, p , = (a - d) / (u - d)
where a = ert where r = 0.025, t = 0.25
a = e0.025*0.25 = 1.0063
d = 1 / u = 1 / 1.3050 = 0.7663
p = (1.0063-0.7663) / (1.3050-0.7663)
p = 0.46
1-p = 1-0.46 = 0.54
c) Price of an American Call Option on the currency : we use binomial tree for that , as follows: The amounts below line indicate the option price and figures above line indicate the underlying asset price which is 0.55555
Answer:
D. Qualified for the Position
Explanation:
Prima Facie Evidence
Prima Facie evidence is evidence that is sufficient to establish a fact or prove a proposition unless otherwise refutted.
Age Discriminationi in Employment Act
The age discrimination in Employment Act in the US was established as a labour law in 1967 and it was established to ensure that anyone who is at least 40 years of age does not suffer from employment discrimination.
The fact that Sharon is a forty-five year-old employee means she is qualified to file a suit against her employers under the Act. However, as previously stated before it can be established whether she deserves a higher pay or more dependable than her replacement or was discriminated against because of age, Sharon will need to establish the fact that she's qualified for the position taken away from her.
If she cannot prove that proposition or it ends up being refutted by the organisation, then the Age Discrimination in Employment Act cannot be invoked.
Answer:
To create human capital in a company, it is mainly necessary to capture it (recruit and select it) and retain it (make it stay in the organization).
Explanation:
First, to be able to recruit competitively, the organization has to work its corporate brand.
Secondly, there must be efficient and current recruitment processes. Recruitment is the process of attracting talent to the selection processes.
Once the worker is incorporated into the company, strategies must be used to improve talent retention and team performance.
Answer:
Explanation:
1. The computation is shown below:
State unemployment = $10,000 × 4.2% = $420
Federal unemployment = $10,000 × 0.8% = $80
2. The journal entry is shown below:
Payroll tax expense A/c Dr $38,975
To Social security tax A/c $30,300 ($505,000 × 6.0%)
To Medicate tax A/c $8,175 ($545,000 × 1.5%)
To State Unemployment tax payable A/c $420
To Federal Unemployment tax payable A/c $80
(Being the payroll tax expense is recorded)
Answer:
12.71%
Explanation:
In this question, we apply the Capital Asset Pricing Model (CAPM) formula which is shown below
Expected rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)
= 4% + 1.34 × 6.5%
= 4% + 8.71%
= 12.71%
The (Market rate of return - Risk-free rate of return) is also called market risk premium and the same is used in the computation part. We ignored the bets of Delta
