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Naddika [18.5K]
3 years ago
8

Which of the following series uses commas​ correctly?

Business
1 answer:
Serjik [45]3 years ago
7 0
Incorrect. You don’t need a comma after “crocodiles” or before “other”
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2. (double-weight) A European put option is ""in the money."" The price of the underlying security now rises. a. What happens to
sertanlavr [38]

Answer:

(A) premium on put option falls (B) premium on call option rises (C) premium on call changes more in absolute terms

Explanation:

An European put expires on a specific maturity date and can only be exercised on that date. A put option grants the right to sell an underlying security at an exercise price (X) on the exercise date, irrespective of the price the underlying security is trading at (S). On the other hand, a call option grants the right the buy an underlying security at the exercise price. The call or put option buyer will pay a Premium to the option writer to obtain this right. The amount charged as premium depends on how valuable the option is.

The value of a put option (P) = X-S (thus, the lower the price of the underlying security, the more valuable the put option is, vice versa)

The value of a call option (C) = S-X (thus, the higher the price of the underlying security, the more valuation the call option is, vice versa)

If the price of the underlying security rises,

(A) the put option will become less valuable, and its premium will fall

(B) the call option will become more valuable, and its premium will rise.

(C) the absolute size of the change in the call option will be larger than that of the put option. This is because the more the price of the underlying security increases, the more valuable the call option will become (as an example, if I have an option to buy an item at $10 and the current price of the item is $20, I can pay a positive value for that option. If the market price of the item increases to $50, I can pay even more for the option to buy the item at $10).

Whereas, the value of a put option will remain static once the price of the underlying rises beyond the exercise price. For instance, if I have the option to sell an item at $10 when the market price is $20, I just will not exercise the option. I will not change my decision if the market price rises to $50.

3 0
3 years ago
Sally has a decision to make about what she will do in the next 2 years. she can go to school or go straight into the workforce.
Ray Of Light [21]
<span>If she starts work now she will earn $40,000 in two years. Borrowing 5000 dollars in year one times a flat 5% interest rate equals a total of 5250 which she would have to repay. Not caclualting for taxes, but based on her gross income, that would leave her with 42, 250 dollars and she would end up ahead by the end of two years. So yes at 4 percent it would also make sense. At 6 percent her payback amount would be 5300 dolloars and she would still end up ahead. But in real life there are taxes and compound interest.</span>
3 0
3 years ago
The common stock of the Avalon Corporation has been trading in a narrow range around $40 per share for months, and you believe i
Sergeu [11.5K]

Answer:

$700

Explanation:

Given that

Price of a 3 month put option = $3

Price of a 3 month call option = $4

Considering the above

Selling the straddle = sell a put + sell a call

Thus,

Total premium income from selling a stradle = (P + C)100

Where,

P is price of put

C is price of call

Therefore,

Total premium from selling a stradle

= (3 + 4)100

= 7 × 100

= $700

4 0
3 years ago
Read 2 more answers
Luebke Incorporated has provided the following data for the month of November. The balance in the Finished Goods inventory accou
vodka [1.7K]

Answer: $‭238,800‬

Explanation:

Adjusted Cost of Goods for November = Beginning Finished good inventory + Cost of goods manufactured  - Ending Finished goods inventory - Overapplied Overheads

Overapplied Overhead = Overhead applied - Actual Overhead

= 60,400 - 56,800

= $3,600

Adjusted Cost of Goods for November = 58,000 + 215,000 - 30,600 - 3,600

= $‭238,800‬

8 0
3 years ago
Starbucks CEO Howard Schultz has made sure his employees have health insurance and work in a positive environment. He could best
Leya [2.2K]

Answer: Servant leader

Explanation: Servant leader is that leader whose main goal is to serve his followers and subordinates.  All the actions that a servant leader takes is to make sure that the needs of his followers are taken care of.

This theory is sometimes used in management also we the perception that employees are the most important asset and if they are provided with proper facility their productivity will be at full, leading to development of organization.

In the given case, Starbucks CEO is taking utmost care of his employees. Hence, it is clearly a Servant leader example.

3 0
3 years ago
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