1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
bogdanovich [222]
3 years ago
9

An investor purchases a stock for $38 and a put for $.50 with a strike price of $35. The investor sells a call for $.50 with a s

trike price of $40. What is the maximum profit for this position
Business
1 answer:
Nuetrik [128]3 years ago
7 0

Answer: $2

Explanation:

From the question, we are informed that an investor purchases a stock for $38 and a put for $.50 with a strike price of $35 and that the investor sells a call for $.50 with a strike price of $40.

The maximum profit for this position will be the purchase price of the stock deducted from the strike price of call option. This will be:

= $40 - $38

= $2

You might be interested in
A couple of generations ago, a relative of Sophia wanted to share his wealth with family members and decided to open a special b
Varvara68 [4.7K]

Answer:

$23,934.70

Explanation:

Perpetuity (P) Present Value = Deposit = $478,694

Perpetuity annuity value = Deposit * Interest rate

Perpetuity annuity value = $478,694 * 5%

Perpetuity annuity value = $23,934.70

8 0
2 years ago
Dacosta Corporation had only one job in process on May 1. The job had been charged with $2,300 of direct materials, $6,966 of di
storchak [24]

Answer:

Total cost of goods manufactured = $113,645

Explanation:

As for the information provided:

Opening Work in Process = Direct materials + Labor + Overheads

= $2,300 + $6,966 + $10,076 = $19,342

Adding all the cost for the period

Raw material = $39,800 used in production

Direct labor cost = $25,010

Overheads to be applied on predetermined rate = 2,400 \times $19.40 = $46,560

Total cost incurred including beginning work in process = $130,712

Less: Closing Work in process = $17,067

Total cost of goods manufactured = $113,645

4 0
3 years ago
Pepper Company reports a $120,000 increase in inventory and a $40,000 increase in accounts payable during the year. Cost of Good
True [87]

Answer:

The cash payments made to suppliers were $1,280,000

Explanation:

Cash Payment made to the supplier can be calculated using the following formula

Cash Payment made to suppliers = Cost of Goods Sold + Increase in Inventory - Increase in account payable

By Placing values in the formula

Cash Payment made to suppliers = $1,200,000 + $120,000 - $40,000

ash Payment made to suppliers = $1,280,000

4 0
3 years ago
Baldwin corp. ended the year carrying the most inventory. calculate baldwin corp.'s dollars of additional revenue (in dollars) i
wariber [46]

Based on the value of Baldwin Corp's existing inventory, the dollars of additional revenue that would have been earned is $19,923,000.

<h3>What amount of dollars of additional revenue would Baldwin have earned?</h3>

The dollars of additional revenue that a company would have earned is the value of the existing inventory because inventory is assumed to be sold at cost.

Baldwin's existing inventory was valued at $19,923,000 so the dollars of additional revenue would be the same amount of $19,923,000.

Full question is:

Baldwin corp. ended the year carrying the most inventory of $19,923,000. calculate Baldwin corp.'s dollars of additional revenue (in dollars) if all existing inventory were sold at the current prices.

Find out more on the effects of existing inventory at brainly.com/question/24868116.

#SPJ1

6 0
1 year ago
A flexible budget variance is $1,500 favorable for unit-related costs. This indicates that: A. actual costs were $1,500 more tha
lys-0071 [83]

Answer:

D. actual costs were $1,500 less than for the planned level of activity.

Explanation:

D. actual costs were $1,500 less than for the planned level of activity.

the budget depicted more $1500 expenses for certain units production.

4 0
3 years ago
Other questions:
  • Determine the required rate of return for Johnson and Johnson​, assuming the geometric growth rate was 13.04​% for the period​ 2
    11·2 answers
  • Problem page kala bought a sofa on sale for $207.20 . this price was 72% less than the original price. what was the original pri
    9·1 answer
  • Wesley owns and operates the cheshire chicken ranch in turpid, nevada. the income from this ranch is $49,000. wesley wishes to u
    14·1 answer
  • The method of dividing the project scope into many parts that, when combined, would constitute the project deliverable is called
    10·1 answer
  • Sanborn Industries has the following overhead costs and cost drivers. Direct labor hours are estimated at 100,000 for the year.
    5·1 answer
  • The project is estimated to generate $1.735 million in annual sales, with costs of $650,000. If the tax rate is 21 percent, what
    15·1 answer
  • Pharoah Company had beginning inventory of $18600 at March 1, 2022. During the month, the company made purchases of $80600. The
    15·1 answer
  • Glenrosa Company bought inventory from Monterosa Company, FOB destination. On December 31, the last day of the accounting year,
    5·1 answer
  • What might a concept include along with a brief written description of the product?
    14·1 answer
  • Budgeting is the process of planning future business activities and expressing them as?
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!