Answer:
Loss on putting for long time = $300 (Loss
)
Explanation:
Given:
Strike price = $120
Stock price = $123
Premium amount = $3 per share
Realize on investment = ?
Computation of realizing on investment:
Given that strike price is lower than the stock price, So premium paid considers as a loss.
Loss on putting for long time = $3 × 100
Loss on putting for long time = $300 (Loss
)
Answer:
Explanation:
Selling price per unit (next year) = 30 + 10 % of 30 = $33
Variable cost per unit (next year) = 30 * 40 % = $12
Contribution per unit (next year) = Selling price per unit (next year) - Variable cost per unit (next year) = 33 - 12 = $21
Fixed expenses = $68,250
Break even point (in units) = Fixed expenses / Contribution per unit.
Break even point (in units) = 68,250 / 21
= $3,250
Answer:
a. $144 million
Explanation:
The computation of the amount of money raised is shown below:
But before that we have to find out the amount raised and underwriting fees which is given below:
Amount raised by company is
= 4 million × $37.5
= $150 million
And,
underwriting fees is
= $150 million × 4%
= $6 million
So, amount raised by the company is
= $150 million - $6 million
= $144 million
We deduct the underwriting fees from the raised amount
Answer:
b
Explanation:
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