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frutty [35]
3 years ago
14

Suppose ABCD's stock price is currently $50. In the next six months, it will either fall to $40 or rise 8 to $60. What is the cu

rrent value of a six-month call option with an exercise price of $50? The six- month risk-free interest rate is 2% (periodic rate).
A. $5.39
B. $15.00
C. $8.25
D. $8.09
Business
1 answer:
ivann1987 [24]3 years ago
6 0
The answer is B. $15.00
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Answer:

B. A stationary state in which growth will cease.

Explanation:

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He was opined that at the end, human population will reach a point where they will not be able to produce enough food for themselves. However, his ideology has been criticized and disproved by other economists citing technology advancement and migration.

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<u>Answer: </u>

The liquidity of a company with significant amounts of obsolete inventory is best measured by the inventory turnover ratio.

<u>Explanation: </u>

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The real interest rate accounts for inflation by using the formula:

= Nominal rate - Inflation rate

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