Answer:
Buy at a lower strike put option or sell at a higher call option
Explanation:
100 shares of apple stock bought at $300
premium of put option ( cost ) = $12
Put option = $300
<u>What can be done to reduce the cost of protective put position </u>
To reduce the cost we can either buy at a lower strike put option or sell at a higher call option
Buying at a lower strike put option price ( < $300 )
This way premium will be reduced but this will not hedge against small fall in price
Sell at a higher call option
This way the premium charged will be reduced but if the price rises above the entry price on expiration then the gains made above the price will be foregone .
The firm will produce output in the short run only if the market price is at least equal to the <u>average cost</u>.
In both the short run and the long run, rate equals marginal revenue. The firm must increase output so long as marginal sales exceed marginal fee, and reduce output if marginal sales is much less than marginal fee. earnings are maximized while marginal sales equal marginal fee.
Short-run price is determined by means of short-run equilibrium among call for and supply. deliver curve in the brief run under perfect opposition is a lateral summation of the quick-run marginal value curves of the company.
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Unless u.s. legislatures give courts and prison administrators more leeway to interchange prison sentences with community sentences, states will continue to find themselves in economic crises as they attempt to provide for the 33% of the inmate population projected to be elderly by the year 2030.
<h3>What is an economic crisis in your own words?</h3>
- The term "economic crisis" refers to a situation where a country's economy has a sudden decline in strength, typically caused by a financial crisis. The current economic situation could manifest as stagflation, a recession, or an economic depression.
- Asset values endure a sharp decrease in value during a financial crisis, firms and individuals cannot pay their loans, and financial institutions face a liquidity shortage.
- An economic crisis occurs when a country has a sudden decline as a result of a financial crisis, whereas a financial crisis is a situation in which the values of financial assets in an economy collapse rapidly.
- A debt crisis can result in significant losses for domestic and foreign banks, potentially jeopardizing the viability of financial systems both in the crisis-hit nation and beyond. This may hinder economic expansion and wreak havoc on international financial markets.
Unless u.s. legislatures give courts and prison administrators more leeway to interchange prison sentences with community sentences, states will continue to find themselves in economic crises as they attempt to provide for the 33% of the inmate population projected to be elderly by the year 2030.
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Answer:
$15
Explanation:
The computation of the estimated variable cost per unit by using high low method is shown below:
Variable cost per unit = (High total cost - low total cost) ÷ (Highest level activity - lowest level activity)
= ($110,000 - $87,500) ÷ (4,000 units - 2,500 units)
= $22,500 ÷ 1,500 units
= $15
By applying the above formula we easily find the estimated variable cost per unit
Answer:
B. The excess of the credits of an asset account over the debits is the balance of the account.
Explanation:
The normal balance of an <u>Asset is DEBIT</u>.
So saying that the excess of the credits over the debits will be the balance of the account is not true.
Choice A is true since Liabilities are normally credits.
Choice C is also true since stockholder's equity are normally credits.
Lastly, Choice D is true because Expenses are normally credits.
