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navik [9.2K]
4 years ago
13

American call and put premiums:__________

Business
1 answer:
shtirl [24]4 years ago
4 0

Answer:

B) Should be at least as large as their intrinsic value.

Explanation:

American call and put option premiums are one of the options contracts, which allows investors to buy or sell the stock options before the maturity date. It is not referred to as the option related to geographical location, however, it is only applied to the rights of execution.  

There are four variables to specify the contract:-

  • Underlying asset.
  • Premium
  • Strike price.
  • Maturity data.

Intrinsic value is the difference between underlying assets and strike price, which can not be negative and the premium is the price paid during buying and selling of options. Therefore, American call and put premiums should be at least as large as their intrinsic value.                                                

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2. Provide three examples of innovative activities, practices that leaders might undertake. Do not limit your ideas to
balu736 [363]

Answer:

Examples of innovative activities which leaders might undertake are:

1. Reading and reviewing a book with their employees in an area of organizational deficiency;

2. Encouraging and promoting problem-solving rather than rote activities through the use of financial rewards tied to such activities

3. Carrying our regular (weekly performance) feedback of each person's performance including the leader she or himself in order to ensure timely and goal-oriented course correction.

Cheers

4 0
3 years ago
e Arlington Motor Pool Internal Service Fund had the following transactions and events during January 2018. Using the "Additiona
Akimi4 [234]

Answer:

Journal Entries

1) Debit Salaries Expense $6,667 Credit Bank $6,667

2) Debit Fuel and Maintenance expense $600, Credit Bank $600

3) Debit Depreciation Expense $amount Credit Accumulated depreciation $amount

4) Debit Insurance Expense $amount Credit Bank $amount

5) Debit Benefit Expense $amount Credit Accrued Benefit Expense $amount

6) Debit Accounts Receivable ( total of all trips) $amount Credit Service Revenue $amount

Explanation:

The Question is incomplete but i will do the typical journal entries to the transactions without figures.

1) The salaries are for one month and in brackets there is a $80,000*1/12 calculation meaning the $80,000 is for the year, now if it was already recorded then we debit salaries payable $6,667 credit bank $6,667

4) Insurance expense is debited if it is paid as it is incurred but if it has an Prepaid insurance account then we credit the Prepaid insurance account instead of Bank.

4 0
3 years ago
My FLBA regionals is this week and i am doing an impromptu speech.
BaLLatris [955]
Look at the audience
and be confidents
8 0
4 years ago
Tara Company owns 30% of Hawkins, Inc. and applies the equity method. During the current year, Hawkins buys inventory costing $4
Step2247 [10]

Answer:

The correct option is d. $7,500

Explanation:

For computing the unrealized gain, first we have to compute the gross profit ratio which is shown below:

Since gross profit is not given in the question, so, first we have to find it.

The gross profit formula is shown below:

= Sales revenue - cost of goods sold

= $500,000 - $400,000

= $100,000

Now, gross profit ratio equals to

= (Gross profit ÷ sales revenue) × 100

= ($100,000 ÷ $500,000) × 100

= 20%

In the question, the 25% of merchandise is still held by Tara.

Since merchandise inventory is not given

So, we multiply the gross profit by 25% and 30%

In mathematically,

= Gross profit × 25% × 30%

= $100,000 × 25% × 30%

= $7,500

Hence, the $7,500 amount of unrealized gain must be deferred by Hawkins in reporting on the equity method

Therefore, the correct option is d. $7,500

3 0
4 years ago
Brady, who has ordinary-shaped indifference curves, buys 16 ounces of salt each year. Even when the price of salt doubles, Brady
NNADVOKAT [17]

Answer:

No option is correct, but I believe that one option was not copied appropriately since A and C are the same (although both are wrong).

The correct answer is Salt is an inferior good for Brady since the income effect is negative.

Explanation:

Brady's demand for salt is perfectly inelastic, in other words, his demand curve for salt is vertical since no matter the price, he always purchases the same amount.

Salt is an inferior good for Brady since the income effect is negative. He will continue to buy salt regardless of its price.

5 0
3 years ago
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