Piecemeal describes something that's made or done in a series of steps. As an adverb, piecemeal means either “step by step” or “in pieces.” And Time rates are used when employees are paid for the amount of time they spend at work. The usual form of time rate is the weekly wage or monthly salary.
Answer:
The answer is $475.
Explanation:
We have the writer of the put contract has the obligation to buy the share at $50 ( as the put is the at-the-money put) in 3 months time. The writer of the put also has received the premium at $650 for assuming the obligation to buy at the predetermined price.
Thus, the expected returns is calculated as below:
-[0.60 x 100 x Max[$0,$50 - ($50)(1.1)] + 0.30 x 100 x Max[$0,$50 - ($50)(0.95)] + 0.10 x 100 x Max[$0,$50 - ($50) (0.80)] + $650 = - [0.6 x 100 x 0 + 100 x 0.3 x 2.5 + 0.1 x 100 x 10] + 650 = $475.
Answer:
Available only for monopolies
Explanation:
In simple words, price discrimination in America is illegal only when it impedes competition in market or is done on the basis of race, religion etc. America is a capital intensive market which makes it a free market as well, in such a market framework, the market forces affect the prices and competition always remains high.
Therefore, monopolies are the only firms that can perform price discrimination to some extent.
Normally assets = liabilities + owner equity
What assets does the company have, i.e. cash on hand, equipment, accounts receivable?
Date of Declaration:
Dr: Retained Earnings 22,850,000
Cr: Common Stock Dividend Distributable 350,000
Cr: Paid-in Capital in Excess of Par-Common 22,500,000
500,000*45 = 22,500,000
22,500,000+350,000=22,850,000
Date of Distribution:
(70%*500,000) = 350,000
Dr: Common Stock Dividend Distributable 350,000
Cr: Common Stock 350,000