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STALIN [3.7K]
3 years ago
11

An investor implements a collar strategy by purchasing 100 shares of the Tesla stock at a price of $840 per share, selling 100 c

all options on the Tesla stock with a strike price $880 per share, and buying 100 put option on the Tesla with a strike price of $800. The premium of the call option is $35 per share and the premium of the put option is $32. At which stock price at the maturity of the option will the investor break even
Business
1 answer:
ollegr [7]3 years ago
8 0

Answer: $837

Explanation:

The following information can be gotten from the question:

Purchase price = $840 per share

Premium of call option = $35 per share

Premium of put option = $32 per share

From the above, the premium received will be:

= $35 - $32 = $3

Investors break even will then be:

= Purchase price - Premium received

= $840 - $3

= $837

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Answer:

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3 years ago
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Staley Co. manufactures computer monitors. The following is a summary of its basic cost and revenue data: Per Unit Percent Sales
Ivenika [448]

Answer:

20.5%

Explanation:

Calculation for what Staley Co.'s margin of safety ratio (MOS%) if 600 units are sold would be

First step is to calculate Break-even amount

Break-even = $80,000/($480-$312)

Break-even= 476.19

Break-even= 477 approximately

Second step is to calculate the Margin of Safety

Margin of Safety = 600-477

Margin of Safety= 123

Now let calculate the margin of safety ratio

Margin of safety ratio=123/600

Margin of safety ratio=20.5%

Therefore Staley Co.'s margin of safety ratio (MOS%) if 600 units are sold would be 20.5%

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3 years ago
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Answer:

is the pattern that follows any of the variables that determine the benefit of an economic activity

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3 years ago
use the concepts of gross and net investment to distinguish between an economy that has a rising stock of capital and one that h
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Gross investment can be zero but never negative because it is the investment in the capital stock.

<u>Explanation:</u>

Gross investment in a country is the amount that has been spent by the economy on the fixed assets of the economy in a given period of time. It is the addition done to the total capital stock of the country in a particular period of time.

So this shows that it can be zero meaning that no amount is spent on the addition of the capital stock in a particular period of time but it can never be negative.

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3 years ago
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Answer:

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Explanation:

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It is a cross - channel content strategy .

The resources of these , Omnichannel strategy , are are orchestrated  and designed to cooperate .

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Hence , the example given in the question , is of  a Omnichannel strategy .

7 0
3 years ago
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