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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:

b. speed money

Explanation:

Speed money -

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It is also known as grease payments .

It is different from the bribe , as bribe is given in order to approve the activity or task .

But speed money is used to hasten the time period .

Hence , from the given question ,

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3 0
3 years ago
Negotiated transfer prices ______. are consistent with decentralization use the expertise of managers in weighing the costs and
ruslelena [56]

Answer:

1. are consistent with decentralization.

2. use the expertise of managers in weighing the costs and benefits of the transfer.

3. preserve the autonomy of the divisions.

Explanation:

A negotiated transfer prices can be defined as the final price reached between the buyer (consumer) of finished goods and services and the trader (seller) of such goods and services.

Negotiated transfer prices has the following advantages;

1. Negotiated transfer prices are consistent with decentralization.

2. Use the expertise of managers in weighing the costs and benefits of the transfer.

3. They preserve the autonomy of the divisions.

4 0
3 years ago
Nature’s Crunch is currently the only certified organic produce grower in a region that produces lots of non-organic produce alt
aliya0001 [1]

Answer:

The correct answers are letters: "A", "B", "C", and "D".    

Explanation:

As a monopoly, Nature's Crunch will be benefited in profit terms if any chemical involved non-organic vegetables growing process is affected somehow. Then, <em>a tomato blight affecting chemically treated plants, an increase in the cost of chemical pesticides, and a new report about the environmental dangers of chemically treated plants</em> would automatically generate more sales for Nature's Crunch. Besides, it does not matter under what scenario, <em>income tax cuts</em> <em>for all consumers</em> will generate more revenue both for organic and non-organic industries.

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Advantages of supermarkets?​
bazaltina [42]

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you can buy and get stuff in physical form.

Explanation:

8 0
3 years ago
Read 2 more answers
A $600,000 state lottery prize is spread evenly over twelve years ($50,000 a year) (Alternative 1), or you may take a lump distr
scZoUnD [109]

Answer and Explanation:

The computation of the present values of both alternatives is shown below:

For alternative one, the lump sum amount is

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= $50,000 × 7.5361

= $376,805

And, in the alternative 2, the lumpsum amount i.e. present value is $452,000

So as we can see that the alternative 2 is better as the lumspsum amount is high as compared with the alternative 1

5 0
3 years ago
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