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3 years ago

ABC Corporation's stock is trading at $35. A client has purchased a 50 call. The option's current value is made up of

Business

1 answer:

grin007 [14]3 years ago

3 0

Answer: intrinsic value only.

Explanation:

Intrinsic value is the expected or measured value determined by fundamental analysis of a business, stock, currency or commodity. In this case the intrinsic value is 50 call.

Tangible and intangible variables are included. The true value is often referred to as intrinsic value which may or may not be the same as the current market value.

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What is the major difference between the unadjusted trial balance and the adjusted trial balance?

Dahasolnce [82]

A. the adjusted trial balance includes the postings of the adjustments for the period in the balance of the accounts.

The adjusted trial balance includes things like accrued revenues that weren't yet recorded, depreciation, unearned revenues and more.

8 0

3 years ago

S= 2( lw + lh + wh) Solve for w <br><br> Please show your work

charle [14.2K]

You said that    S = 2(lw + lh + wh)

Divide each side by 2 :    S/2 = lw + lh + wh

Subtract 'lh' from each side: S/2 - lh = lw + wh

Factor the right side: S/2 - lh = w(l + h)

Divide each side by (l + h) :    (S/2 - lh) / (l + h) = w

5 0

3 years ago

The following transactions occur for Cardinal Music Academy during the month of October: Provide music lessons to students for $

Masteriza [31]

Answer:

a. Journal entry to record music lesson

Date Account title and Explanation Debit Credit

October Cash $12,500

Service revenue $12,500

(To record music lesson for cash)

b. Journal entry to record prepaid insurance purchase

Date Account title and Explanation Debit Credit

October Prepaid insurance $3,660

Cash $3,660

(To record prepaid insurance paid for next year)

c. Journal entry to record musical equipment purchased

Date Account title and Explanation Debit Credit

October Equipment $15,500

Cash $15,500

(To record musical equipment purchase for cash)

d. Journal entry to record

Date Account title and Explanation Debit Credit

October Cash $21,000

Notes payable $21,000

(To record loan taken by signing a note)

6 0

3 years ago

Cash dividends paid on capital stock would be reported in the statement of cash flows in a.the Cash flows from investing activit

Basile [38]

Answer: The answer is c.the Cash flows from financing activities section

Explanation: Cash flows from financing activities section of the statement of cash flows provides an insight on how the company is funded. It shows the net cash flows used in funding the company. Transactions that appear under that section comprise debt, equity and dividends.

Investors analyze this section of the cash flows to know how the capital structure of an organization is managed to further understand the financial strength of the organization.

3 0

3 years ago

Due to limited production space, Computer Inc needs to adjust its sales mix. Current production is 500 flash drives (contributio

liubo4ka [24]

Answer:

Computer Inc should produce and sell 500 charging cords since their contribution margin is the highest, resulting in a gross profit of $8 per unit x 500 units = $4,000. And produce and sell 650 flash drives with a contribution margin of $7 per unit which results in a gross profit = $7 x 650 units = $4,550.

Explanation:

Companies must focus on producing and selling the products that generate them the largest profit.

3 0

3 years ago