Answer:
a. The initial remittance is the same as the initial margin requirement of $3,000.
b. The profit is;
= 100 ounces * ( 1,005 - 1,000)
= $500
Return is;
= Profit/ Margin
= 500/3,000
= 16.67%
c. The loss is;
= 100 * ( 1,000 - 998)
= -$200
d. If the futures price declines to $984, what must the speculator do?
Depends on if the maintenance requirement is still below the balance.
= 3,000 - 100 * (1,000 - 984)
= $1,400
This is below the maintenance margin of $1,500 and so the speculator will have to deposit an amount that will take it back to the original margin requirement.
= 3,000 - 1,400
= $1,600
Speculator should deposit $1,600.
e. = 3,000 - 100 (1,000 - 982)
= $1,200
Answer: b
Explanation: i just did it on my test and got B
Answer:
The correct answer is letter "A": True.
Explanation:
<em>Achievement of goals</em> can be considered as a factor to measure the performance of managers. If stated clearly, meaning establishing what the goal is, under what conditions it must be accomplished, and after what period, those objectives can determine if executives are doing what is necessary to manage the business properly.
Answer:
The answer is given below;
Explanation:
Description 0 1 2
Equipment (40,000)
Depreciation
(40,000/10,000)*4,000 (16,000)
(40,000/10,000)*6,000 (24,000)
Savings 28,000 40,000
Salvage Value 15,000
Net Cash flows 12,000 31,000
PV factor 1/1.1 =.91 1/1.1^2=.83
Net present value
PV factor*net cash flows 10,920 25,730
(10,920+25,730) 36,650
Net present value (40,000)+36,650=(3,350)
Answer:
$1.7
Explanation:
From the question above Kirova company recorder the following information
Number of issued common shares is 990,000
Net income is $1,436,500
Number of authorized common share is 1,000,000
Weighted average income of outstanding common shares is 845,000
Number of treasury shares is 145,000
The formular to calculate the earning per share is
= Net income/Outstanding shares
Net income= $1,436,500
Outstanding shares= number of issued common shares- number of treasury shares
= 990,000-145,000
= 845,000
Therefore, the earnings per share can be calculated as follows
= 1,436,500/845,000
= $1.7
Hence Kirova's earning per share is $1.7
