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liraira [26]
3 years ago
8

5. Suppose a novice investor buys a call option on 45,000 barrels of oil with an exercise price of $45 per barrel and simultaneo

usly buys a put option on 45,000 barrels of oil with the same exercise price of $45 per barrel. Her net payoff per barrel on these option contracts is ________ if the market price per barrel is $43 and ________ if the price per barrel is $47.
Business
1 answer:
loris [4]3 years ago
5 0

Answer:

A. $2, $2

Explanation:

Since the market price per barrel is $43 so the call option is not relevant at $45 but he can apply the put option for $45 and make $2 which comes from deducting $43 from $45

Simply like this the market price per barrel is $47 so the put option is not relevant at $45 but he can apply the call option for $45 and make $2 which comes from deducting $45 from $47

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The zero-based budget is the the most effective type of budget because its keeps the firm aware of how much money is flowing in and out.

<h3>What is a zero-based budget?</h3>

A zero-based budget means a method of budgeting where all the expenses must be explained for each new period.

The zero-based budget is very important because its process ensure that that is a justification for all operating expenses and areas that company are generating revenue.

In conclusion, the zero-based budget is the the most effective type of budget because its keeps the firm aware of how much money is flowing in and out.

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Webee Ltd. has entered the growth stage of its business. It is raising external finances to sustain its operations. In which typ
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Flotation costs are the amounts that are significantly required for the issuing of various securities in a company such as legal fees and registration fees. In addition, the type of funding that would mostly likely incur flotation costs in Webee Ltd. would be by issuing common stocks.
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3 years ago
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A division's return on investment may be improved by increasing:
Kisachek [45]

Answer:

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Explanation:

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5 0
4 years ago
(consider this) suppose that a large tree on betty's property is blocking chuck's view of the lake below. betty accepts chuck's
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3 years ago
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