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Licemer1 [7]
3 years ago
15

10. Suppose the price of a share of IBM stock is $100. An April call option on IBM stock has a premium of $5 and an exercise pri

ce of $100. Ignoring commissions, the holder of the call option will earn a profit if the price of the share a. increases to $104. b. decreases to $90. c. increases to $106. d. decreases to $96. e. None of these is correct.
Business
1 answer:
ch4aika [34]3 years ago
4 0

Answer:

The answer is C.

Explanation:

Call option is a financial contract that gives the holder(holder of call option) the right but not the obligation to buy an asset(bond, equity etc.). The holder of call option expects the underlying assets to increase in future.

The excercise price or strike price is $100

The premium(the price paid by the buyer to the seller to obtain this right) is $5

The total is $105($100 + $5)

So for profit to be recorded, this must be over $105 which is from $106.

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LUCKY_DIMON [66]

Dress for Success, Inc. is justified in the suspension and the ultimate sacking of Sharon Riddle and other female salespersons. The US stipulates that it is at the discretion of the company to choose whether to allow the employees to choose their dress codes of personal preference or dress while applying the company’s policies, therefore, the company was justified in its actions.

<h3>What is  dress codes?</h3>

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6 0
1 year ago
Henry is demonstrating his gross motor skills when he picks up cheerios from his high-chair tray.
mafiozo [28]
<span>This is incorrect. Henry is actually demonstrating fine motor skills. Gross motor skills are those skills that pertain to large movements like walking, balance, jumping, etc. Fine motor skills are those that pertain to fine manipulation like writing, picking up small objects (like the cheerrios), or tying a knot.</span>
8 0
3 years ago
3. The Operations Section Chief: A. Develops and implements strategies and tactics to achieve the incident objectives. B. Sets u
yanalaym [24]

Answer:

A. Develops and implements strategies and tactics to achieve the incident objectives

Explanation:

An operations section chief is the one who is assigned the responsibility of managing all those activities and operations which are linked to a company's mission.

Such an individual supervises organizational activities in compliance to incidental action plan and directs the implementation of such strategies. The individual is also responsible for making necessary changes in the incidental action plan so as to align it with the mission.

Incidental action plan refers to future course of action related to accomplishment of incidentals goals.

The operations section chief develops and implements strategies and methods so as to achieve such incidental objectives.

6 0
3 years ago
Suppose a decrease in the supply of wheat results in an increase in revenue. This indicates that Group of answer choices a. the
Rufina [12.5K]

Answer:

The correct answer is c. the resulting increase in price is proportionately greater than decrease in quantity sold.

Explanation:

if supply decreases and the supply curve shifts to the left the equilibrium price is likely to increase. An increase in revenue after an increase in price would mean that an increase in price is proportionately greater than a decrease in quantity sold.

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3 years ago
The right side any account is the
lisabon 2012 [21]
The right side of any account is B the credit side
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