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ratelena [41]
3 years ago
15

The premium on a put option on the market index with an exercise price of 1050 is $9.30 when originally purchased. At expiration

of 2 months the position is closed, and the index spot price is 1072. What is the Put Payoff?
Business
1 answer:
lianna [129]3 years ago
5 0

Answer:

The put payoff = $1,072 - $1,050 = $22  per share

Explanation:

The put payoff is simply the difference between the spot price and the exercise price.

To determine the real profit obtained in this transaction we would need to know the investor's return rate. One of the basic pillars in finance it that $1 today is worth more than $1 tomorrow. We need a return rate to adjust the premium paid, for example if the return rate = 6%, then the premium would have been $9.30 x (1 + 6%/12)² = $9.30 x 1.005² = $9.39

profit = number of shares x (put payoff - adjusted premium)

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REY [17]

Answer:

Charles X

Explanation:

Charles X was a king of France between 1824 and 1830 and for the greater part of his life was known as the Count of Artois. During his reign as king, Charles X, whose full name is Charles Phillipe, lowered interest bonds to create funds to pay survivors of the emigres who forfeited their lands. He also restores primogeniture(the right of succession of the throne by first borns). He also enacted the law of death or imprisonment for sacrilege in his support of the Roman Catholic Church.

Cheers.

5 0
3 years ago
If a perfectly competitive firm finds that price is less than average variable cost, it should: shut down immediately. increase
Musya8 [376]

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Explanation:

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3 years ago
Blank is a checking that is dishonored because of insufficient funds
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7 0
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Last month, a processing facility (such as a check processing facility or a distribution center) transitioned from an unpaced as
bija089 [108]

Answer: b. Quality problem occurs

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Explanation:

From the scenario on the question, the most likely thing to result is for quality problems to occur. Quality simply has to do with the extent to which a particular product satisfies already specified requirements.

Based on the scenarios such as the worker at the bottleneck station being replaced by another worker who works more slowly than the original worker, the quality will be affected.

Division of labor is when task are being delegated in a workplace so that efficiency can be improved. When there is a rise in the division of labor, learning is affected as there'll be a decrease as division of labor increases. This is because everyone has his or her role to play rather than learning more about other departments or roles, the worker will be typically focused on one role.

7 0
3 years ago
Here's the revenue and expenses for the month. Calculate whether Mia had a profit or loss.
kherson [118]

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Explanation:

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