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Travka [436]
3 years ago
11

The current market price of a share of Disney stock is $60. If a call option on this stock has a strike price of $65, the call c

an be exercised profitably. is out of the money and can be exercised profitably. is in the money. is out of the money. is in the money and can be exercised profitably.
Business
1 answer:
Alexxx [7]3 years ago
3 0

Answer:

out of the money and cannot be exercised profitably.

Explanation:

In this question, we are asked to state the status of a call on a share of stock.

Now , We can identify that the strike price $65 has a greater value than market price of $60,

In situations when the striking price on a call option is more than the market price, the option is out of the money and cannot be exercised profitably.

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Delaney Inc. has several transactions with foreign entities. Each transaction is denominated in the local currency unit of the c
lina2011 [118]

Answer:

qwertyuiopasdfghjklzmnbxvctqyeuippskdnf

Explanation:

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5 0
3 years ago
The following information pertains to Lightning Inc., at the end of December: Credit Sales $ 20,000 Accounts Payable 10,000 Acco
OLEGan [10]

Answer:

Lightning Inc.

Computation of Bad Debts Expense:

7% of $7,500 =   $525

21% of $1,600 =    336

46% of $1,300 =   598

Total                 $1,459

Explanation:

a) Data and Calculations:

Credit Sales $ 20,000

Accounts Payable 10,000

Accounts Receivable 10,400

Allowance for Uncollectible Accounts 400 credit

Cash Sales 20,000

Lightning uses the aging method and estimates it will not collect 7% of accounts receivable not yet due, 21% of receivables up to 30 days past due, and 46% of receivables greater than 30 days past due.

The accounts receivable balance of $10,400 consists of $7,500 not yet due, $1,600 up to 30 days past due, and $1,300 greater than 30 days past due.

Age Analysis of Accounts Receivable balance of $10,400

                  Not yet due     up to 30 days         greater than 30

                                               past due              days past due

Percentage         7%                         21%                  46%

Balance           $7,500                  $1,600               $1,300

Bad debts          $525                     $336                 $598

Bad debts Expense = $1,459            

6 0
3 years ago
Members of _________ organizations do not get paid and instead contribute their time or money because they like or admire what t
drek231 [11]
Non-profit organizations. (They don’t make money)

Hope I helped!
7 0
3 years ago
A firm has a capital structure with $3 in equity and $3 of debt. The cost of equity capital is 0.17 and the pretax cost of debt
vampirchik [111]

Answer:10.06 %

Explanation:

WACC = (Cost of equity × weight of equity ) + (Cost of debt × weight of debt)

Cost of equity = 0.17

Cost of debt = pretax cost of debt × (1 - tax rate )

0.06 × 0.52 = 0.0312

Weight of debt and equity = $3 / $6 = $0.5

WACC = ( 0.17 × 0.5 ) + (0.52×0.06 × 0.5) = 0.085 + 0.0156 = 0.1006 = 10.06%

4 0
3 years ago
a process with a one-sided specification has a Cpk of 0.22. What is the percentage of the production falls beyond the specificat
mihalych1998 [28]

Answer:

≈ 25%

Explanation:

Given data:

Cpk = 0.22

Determine The percentage of production that falls beyond the specification limit ( assuming normal distribution )

first calculate the value of Z ;

Cpk = Z /3

hence Z = Cpk * 3 = 0.22 * 3 = 0.66

The percentage of the production can be determined by

( 1 - value obtained from the standard normal table for the value of Z =0.66 )

1 - 0.7454 = 0.2546  ≈ 25%

8 0
3 years ago
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