1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
gayaneshka [121]
3 years ago
14

Suppose you buy a put option contract on October gold futures with a strike price of $1200 per ounce. Each contract is for the d

elivery of 100 ounces. What happens if you exercise when the October futures price is $1,180?
Business
1 answer:
lyudmila [28]3 years ago
7 0

Answer:

Strike price of October gold future = $1,200 per ounce

The exercise price = $1,180

<em />

<em>To calculate the amount that will help the investor to decide about the position</em>

Amount added to margin = (Strike price - Future price) * Delivery if each contract

Amount added to margin = ($1,200 - $1,180) * 100

Amount added to margin = $20 * 100

Amount added to margin = $2,000

Therefore, the amount of $2,000 is received. The investor has short position on future contracts to sell 100 ounces of gold in October.

You might be interested in
Corporation made sales of million during . Of this​ amount, collected cash for million. The​ company's cost of goods sold was ​m
saveliy_v [14]

Answer:

A. $405 million

B. $332 million

Explanation:

A. Calculation for How much was Carter's net income for 2016

Using this formula

2016 Net income=Sales revenue - Cost of goods sold - Other expenses

Let plug in the formula

2016 Net income= $900 million - $270 million - $225 million

2016 Net income = $405 million

Therefore How much was Carter's net income for 2016 is $405 million

B. Calculation for How much was Carter's cash balance at the end of 2016

Using this formula

2016 Ending cash balance =Beginning balance + Cash receipts - Payments

Let plug in the formula

2016 Ending cash balance=$ 110 millon + $872 million- $375million - $275million

2016 Ending cash balance= $332million

How much was Carter's cash balance at the end of 2016 is $332million

8 0
3 years ago
When Shaleen first started at the manufacturing facility, it took her four hours to complete the task she can now accomplish in
tekilochka [14]

Shaleen in her first two months on the job, she not only learned to do her job more efficiently, but she has also saved the company money.

This is an example of (E) learning effects.

<h3>What are the learning effects?</h3>
  • The learning effect is the process by which education increases productivity and leads to greater earnings in economics.
  • In psychology and motor learning, the learning effect refers to the rapid improvements in performance that we witness when a person performs their first 5-10 tries at a new task.
  • As the learner becomes more familiar with the activity, these initial leaps in performance become smaller and smaller.
  • Learning effects are stronger when a technologically difficult task is repeated since there is more to learn about the task.
<h3>Solution -</h3>

As it is stated above as the learner becomes more familiar with the activity, these initial leaps in performance become smaller and smaller.

Therefore, this is an example of (E) learning effects.

Know more about learning effects here:

brainly.com/question/11429122

#SPJ4

Complete question:

When Shaleen first started at the manufacturing facility, it took her four hours to complete the task she can now accomplish in 30 minutes. In her first two months on the job, she not only learned to do her job more efficiently, but she has also saved the company money. This is an example of

a. Multiple Choice

b. economies of scale.

c. lead strategy.

d. lag effects.

e. learning effects.

f. transition effects.

4 0
2 years ago
When calculating the Annual Percentage Rate, it is important to consider?
Anettt [7]

Answer:

APR, or annual percentage rate, is your interest rate stated as a yearly rate. An APR for a loan can include fees you may be charged, like origination fees. APR is important because it can give you a good idea of how much you'll pay to take out a loan.

Explanation:

4 0
2 years ago
Management's assessment of the design and operation of the company's internal controls over financial reporting should be:
kotegsom [21]

Answer:

Management's assessment of the design and operation of the company's internal controls over financial reporting should be:

integrated.

Explanation:

A company's assessment of internal controls over financial reporting should be integrated to focus on the effectiveness of internal controls and the reliability of the financial statements.  The effectiveness of internal controls reduces the risk of fraudulent activities by all internal parties. Similarly, the reliability of the financial statements will ensure public confidence and engender unbiased, error-free, and faithful representation of financial performance and position to aid decision making by market participants.

4 0
3 years ago
Hewo how are u today
umka2103 [35]
Good wbu Im fine ! :)))))
8 0
3 years ago
Read 2 more answers
Other questions:
  • When lim f(x) exists, it always equals f(a). state whether it is true or false?
    11·1 answer
  • Job A3B was ordered by a customer on September 25. During the month of September, Jaycee Corporation requisitioned $2,100 of dir
    14·1 answer
  • A salesperson shows his broker an offer for one of his listings that has a good faith deposit in the form of a promissory note.
    7·1 answer
  • Contribution Margin Concepts The following information is taken from the 2017 records of Hendrix's Guitar Center. Fixed Variable
    9·1 answer
  • What statement best describes entrepreneurship? It makes people very rich. It relies on large financial investments. It is only
    14·1 answer
  • Any single people over 15 talking comments please ​
    10·1 answer
  • EEE Corp. reports the following information for the fiscal year. (in $ million) Revenue $7,015 Expenses $3,890 Beginning retaine
    6·1 answer
  • Bristol Company's contribution margin income statement is presented below. Sales for the current period consisted of 7,500 units
    8·1 answer
  • Can someone help pls?
    11·1 answer
  • If you start a business would you rather start off with earning 1million every week and 10,000 an hour or just earn 1 million in
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!