Answer:
The correct answer is letter "D": It’s important to carefully compare each award letter you receive and calculate the net cost of each school so you can make a financially sound decision.
Explanation:
Award letters are received from each college or university where a financial aid application has been submitted. As each of them has different criteria to determine the eligibility of financial aid and handle different school fees. the applicant must <em>review in deep each financial aid offer and compare all of them to determine which is the most suitable</em>.
Answer:
(a) Option (c) is correct.
(b) Option (b) is correct.
Explanation:
(a) If there is an unexpected decrease in the oil prices (Positive supply shock) then as a result this will reduce the cost of production of the firms and hence, there is an increase in the supply of the goods. This will shift the aggregate supply curve rightwards.
(b) If all the producers are required to contribute more towards the heath insurance coverage (negative supply shock) then as a result this will increase the cost of production of the producers. So, this will lead to decrease the supply of the goods and also, shift the supply curve leftwards.
Answer:
E. have a sinking fund provision
Explanation:
Callable bonds are the one wherein the issuer/borrower has an option to redeem the bonds anytime after an initial stipulated period. In case of such bonds, if the issuer decides to redeem the bonds, the holders have to accept the redemption value.
Usually, when market rate of interest on such bonds falls below the coupon rate of such bonds, the issuer redeems such bonds. Thus, such bonds are beneficial to the issuer.
Call protection refers to the period within which such bonds cannot be called or redeemed.
Sinking fund provision refers to transferring a portion of money during the duration of such callable bonds to a separate reserve known as sinking fund, which is created for the purpose of redemption of funds. So when such bonds are to be called, the total money transferred to sinking fund reserve would be raised and used for payment to bondholders.
Creation of such a reserve helps the issuer avoid the pressure of lump sum payment as periodically funds are set aside for the purpose of redemption.
Answer:
Call Value = $9.62
so correct option is d. $9.62
Explanation:
given data
stock price = $64
rate of return = 5%
exercise price = $55
expiration date = 73 days
put option price = $0.074
to find out
call value option should be worth
solution
we will apply here according to the Put Call Parity that is
Put Value + Stock Price = Call Value + [Exercise Price × ] ..........1
put here value we get
$0.074 + $64 = Call Value + [$55 × ]
solve it we get
Call Value = $9.62
so correct option is d. $9.62