Answer:
$98.02
Explanation:
Data provided in the question:
Value of contract = $1,330
Maximum value = $86
Minimum value = $65
Exercise price = $78
Risk-free rate = 3%
Now,
Current value of stock = 
also,
a standard contract has 100 shares
thus,
Call price = Value of contract ÷ 100 shares
or
Call price = $1,330 ÷ 100 = $13.30
Thus,
Current value of stock = 
or
Current value of stock = ( 2.625 × $13.30 ) + $63.1068
= $98.0193 ≈ $98.02
Answer:
A.19
hope this helps! this seems like an easy question to me, is this a trick question??
Answer:
A certain production possibilities frontier shows production possibilities for two goods, jewelry and clothing. The following concepts can not be illustrated by this concept:
- the flow of dollars between sellers of jewelry and clothing and buyers of jewelry and clothing.
Explanation:
- A Production Possibilities Frontier also known as the Production Possibility Curve or Transformation Curve. This curve illustrates a country or a business is utilizing its resources effectively by showing the point at which that country or business is producing its products efficiently.
- This curve is unable to tell you the flow of dollars between the seller and buyers of goods of a business or a country.
- It only tells us about the production of goods not the flow of cash.
Answer:
management has not explained its business purpose
Explanation:
Since in the question it is mentioned that the firm is engaged in the new financial transaction that contains the material impact on the earnings so this represents that it could be come under the pre existed accounting standards.
Also everyone should be aware of the business purpose plus it is not established for changing off the financial statements
So it would be suspicious because the purpose of the business could not be explained
I believe so considering an average of 20 million US citizens depend on it. Hope this helps.
