Answer:
The number and characteristics of sellers and buyers is called market structure.
Explanation:
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Answer:
-$ 540
Explanation:
Put Option - provides right to sell share at exercise price on expiry.
As it is an Right not Obligation, Thus, buyer will exercise the right only if he is gaining at expiry and he will gain only if exercise price is higher than spot price at expiry
In this case Exercise Price ($ 35) is lower than the spot price ( $ 36.25) at expiry. Thus he will not execrise the option.
He will lose all what he spend in buying option that is $ 1.35 per share
Thus,
Net profit or loss on this investment = 4 Options * 100 Shares each * Loss of $ 1.35 per Share
Net profit or loss on this investment = 4 * 100 * (-1.35)
Net profit or loss on this investment = -$ 540
Answer: The answer is A
Explanation:
The real GDP is used to measure the price of all the goods and services produced in a country in a given period of time. When the economy is below full employment level, it indicate the presence of deflationary gap or recessionary gap in the economy. When the economy is below the full employment the real GDP will be greater but the increase in price level will be smaller the reason been that the increase has no effect on the price level of goods and services.
The deflation means a decrease in the quantity of money in circulation or a fall in prices of goods and services. The increase in the spending on the economy by the government such as the spending on the building of a Navy base or on the spending on transportation and communication would only succeeded in increasing the Real GDP but will have no effect on the price level. When there is a deflationary gap or recessionarygap in the economy, the government of a country may introduce a deflationary policy in order to influence the economy. This is done by credit squeeze, a reduction in government expenditure or a reduction in the total supply of money in the economy
The role of three question of economics is to act as the basic principle of production decision making. "What to produce", "How to produce", and "For whom it should be produced" are the three basic questions of economics. We have to consider the type of product, the method of producing it, and the consumer when making a production decision<span>.</span>
