Am not really sure what the answer is but I think its letter D
Answer: the actual call price minus the intrinsic value of the call.
Explanation:
The actual price of a call is calculated as the sum of the intrinsic value of the call and the time value of the call option in the manner:
Price of call = Intrinsic value of call + Time value of call
The Time value of the call is therefore:
Change subject of below formula:
Price of call = Intrinsic value of call + Time value of call
Time value of call = Price of call - Intrinsic value of call
Answer:
The correct answer is letter "D": analyzing competitors’ pricing.
Explanation:
Companies tend to analyze their competitors' pricing to review what are other firms of the same industry doing to obtain revenue. This study usually involves verifying competitors' raw material, labor, and manufacturing pricing. The best practices can be adapted to the analyzing company so revenue can be maximized.
Answer:
B ) Adjust to pay the cost of living, is the correct option.
Explanation:
Automatic Stabilizers are government spending and taxes which automatically increase or decrease with the business cycle or the spending and tax changes that increase or decrease over the business cycle without any action by the government. The example of automatic stabilizers is unemployment insurance payments which rise because of layoffs in a recession and falls as the employment increases in the expansion phase of the business cycle.
Income taxes also have this effect, as when income fells people have to pay less in incomes. The automatic stabilizer government programs tends to reduce the fluctuations in the GDP automatically.
Answer:
c. its simplicity
Explanation:
In the single-step income statement, we can directly compute the net income or net loss like
All revenues XXXXX
Less: All expenses XXXXX
Net income or (net loss) XXXXX
But in the multi-step income statement, there are various steps like gross profit, operating income, non operating income, and finally, net income arrive
Therefore, the income statement is easy to make and easy to understand due to its simplicity
