Answer: Reduction of imports will move spending on another national output to spending on domestic output
Explanation:
Artificial tree barrier such as tariff and import quotas reduce unemployment in one US industry and has another industry increase it's productivity due to this effect. Reduction of imports will move spending on another national output to spending on domestic output, this would cause the domestic output and employment to rise
Answer:
D). Customers find it more comfortable to shop and easier to return unwanted items.
Explanation:
Electronic retailing or e-tailing offers the sale and purchase of goods and services online/internet while traditional mortar retailing proposed the goods and services to the customers through a street-side market and face-to-face medium. There are numerous advantages of the upheaval of online retailing like it offers convenient, and quick access to the stores at any time from any place of the world having internet. It saves the traveling time of the consumers and also reduces the infrastructural costs and develops competitiveness. Thus, as per the question, the option that does not display an advantage of e-tailing is option D as a return in brick-and-mortar was more convenient than e-tailing.
Answer:
Explanation:
The time (T) = 6 months = 6/12 years = 0.5 years
Interest rate (r) = 6% = 0.06
The stock is priced [S(0)] = $36.50
The price the stock sells at 6 months (
) = $3.20
European call (K) = $35
The price (P) is given by:
![P=V_c+K.e^{-rT}-S(0)+Dividends\\But, Dividends = 0.5*e^{-0.25*0.06}+ 0.5*e^{-0.5*0.06}\\Therefore, P=V_c+K.e^{-rT}-S(0)+0.5*e^{-0.25*0.06}+ 0.5*e^{-0.5*0.06}\\Substituting:\\P=3.2+35*e^{-0.06*0.5}-36.5+0.5*e^{-0.25*0.06}+ 0.5*e^{-0.5*0.06}\\P=3.2+33.9656-36.5+0.4926+0.4852\\P=1.64](https://tex.z-dn.net/?f=P%3DV_c%2BK.e%5E%7B-rT%7D-S%280%29%2BDividends%5C%5CBut%2C%20Dividends%20%3D%200.5%2Ae%5E%7B-0.25%2A0.06%7D%2B%200.5%2Ae%5E%7B-0.5%2A0.06%7D%5C%5CTherefore%2C%20P%3DV_c%2BK.e%5E%7B-rT%7D-S%280%29%2B0.5%2Ae%5E%7B-0.25%2A0.06%7D%2B%200.5%2Ae%5E%7B-0.5%2A0.06%7D%5C%5CSubstituting%3A%5C%5CP%3D3.2%2B35%2Ae%5E%7B-0.06%2A0.5%7D-36.5%2B0.5%2Ae%5E%7B-0.25%2A0.06%7D%2B%200.5%2Ae%5E%7B-0.5%2A0.06%7D%5C%5CP%3D3.2%2B33.9656-36.5%2B0.4926%2B0.4852%5C%5CP%3D1.64)
The price of a 6-month, $35.00 strike put option is $1.65
Answer:
The answer is C.
Explanation:
Current ratio shows the liquidity of of a company. This ratio tells us how a company or business is able to meet its short obligation.
This ration is very important to lenders because they use it to know of you will be able to meet the interest payment and principal
The formula for current ratio is:
Current assets/current liabilities
Total current assets is $493,000, Total current liabilities is $357,000
= $493,000/$357,000
=1.38