Answer:
It is to buy a call (A)
Explanation:
Entering a counter position to buy call option at an agreed price with the expectation of increase in stock price will better position the company to mitigate against unfavorable rises in the market share price . The gain realized from the call option will off-set the actual loss from increase in share price.
Answer:
The answer is Project X is the most attractive to an investor.
Explanation:
We can use the definition of Net Present Value (NPV) to solve this problem and figure out which would be the best investment.
Net present value is the present value of future money. In other words, over certain period of time, how much is your investment worth today. It takes into consideration cash inflow and outflow over that period of time as well as interest that could be earned on alternative investments if you had the money today. See attachment to see the NPV formula.
In the attachment, we calculate the NPV for each one of the projects using a rate of return i=3% for all of them. Any rate of return could be used as long as they are the same for all projects.
A positive NPV value means a good investment and the higher that number is the better the investment. In this case, we can see that Project X has the higher NPV of all the projects. Therefore, project X is the most attractive for an investor.
Answer:
I am in the IB program, and personally I think that it better prepared you for college compared to AP. It is known for college preparation and I know someone who had an easy time in college due to it. But both are good on your record, AP is definitely easier as you can choose what classes you'd like
<span> <span>Solution:
A = P(1+r)^n
where,
A = amount
P = principal
r = rate of interest
n = number of years
Putting values in the formula,
8850 = 2750(1+0.08)^n
8850/2750 = (1+0.08)^n
log will be used to solve "n" as it is in the exponent form, which gives,
log(8850/2750) = n log(1+0.08)
By solving, we get n = log(8850/2750) / log(1+0.08)
Using financial calculator, value comes as 15.187 rounded to 15.19.
So, he will have to wait for 15.19 years to take holidays as it will take 15.19 years to make $8850 from $2750 @ 8% annual compounding.</span> </span>
In today's decentralized business world, TOP MANAGERS are the most important strategic decision makers. Decentralization means distribution of decision making power through the hierarchy of an organization. Decentralization has increases in today's business world as it provides a dynamic environment to work.
Though, in decentralization power is also in hands of lower managers, middle managers, etc the top level managers still hold the rights to make decisions.