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docker41 [41]
3 years ago
6

An investor enters into a short oil futures contract when the futures price is $15.5 per barrel. The contract size of 100 barrel

s of oil. How much does the investor gain or lose if the oil price at the end of the contract equals $14.0
Business
1 answer:
Nikolay [14]3 years ago
3 0

Answer:

$150

Explanation:

Calculation to determine How much does the investor gain or lose if the oil price at the end of the contract equals $14.0

Using this formula

Gain or Loss =(Futures price- Ending contract)*Contract size

Let plug in the formula

Gain or Loss=$15.5 per barrel- $14.0* 100 barrels

Gain or Loss=$1.5*100

Gain or Loss=$150

Therefore How much does the investor gain or lose if the oil price at the end of the contract equals $14.0 will be $150

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goldenfox [79]

Answer:

the value of the MktRS (market rate of substitution) is 0

Explanation:

The computation of the market rate of substitution is shown below:

Since it is mentioned that

You like apples half as pears

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X = 1 ÷ 2 Y

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Now the market rate of substitution of the price is

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The same is to be considered

3 0
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How much are you willing to pay for one share of LBM stock if the company just paid an annual dividend of $2.24, the dividends i
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Answer:

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Explanation:

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= 2.24 × 1.023/0.125

= 2.29153/0.125

= $18.33

Hence $18.33 will be paid for one share of LBM stock

7 0
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Trent and kim divorced on september 1, 2017. as part of the divorce decree, beginning in september, trent was to make payments t
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In December, a company signed a contract with a regular customer to sell products for $100,000. In January, the company received
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An electronics store runs very effective advertising to draw potential
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E.6.C

8 0
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Read 2 more answers
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