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Lubov Fominskaja [6]
3 years ago
12

Arbitrage proofs in futures market pricing relationships:_____.a. incorporate transactions costs. b. rely on the CAPM. c. demons

trate how investors can exploit misalignments.d. all of the options are correct. e. none of the options are correct.
Business
1 answer:
andreyandreev [35.5K]3 years ago
5 0

Answer:

Option C: Demonstrate how investors can exploit misalignments.

Explanation:

Arbitrage is illegal in some countries. It is simply a means used by investors to purchase or sale an asset so as to make profit from a difference in the asset's price that is usually between markets.

Price is the amount of money charged for a product or service as itis used to determine a firm's market share and profitability and its produces revenue. Market pricing helps Finding combination of margin and market share to maximize long-term profitability.

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When a firm uses K units of capital and L units of labor, it can produce Q units of output with the production function Q = K√L.
DanielleElmas [232]

Answer:

STC = 20K + 25L = 20*5 + 25*[\frac{Q^2}{25}] = 100 + Q^2

Explanation:

We are given:

K units of capital and L units of labor.

•Each unit of capital cost = 20

• Each unit of labor cost =25

• Level K is fixed at 5 units

We are told production function Q = K√L

Using the production functions and the values given, we can get that Q=5√L.

To find Q, the amount of labor will be given as:

L = \frac{Q^2}{25}

Therefore, the Short run total cost function (STC) will be:

20K + 25L = 20*5 + 25[\frac{Q^2}{25}] = 100 + Q^2

7 0
2 years ago
Identify the risks exist in the conversion cycle of Central Production Limited.
11111nata11111 [884]

Answer:

Authorization of transactions:- Because of unclear subjugation, there is a potential risk of entering a money transfer again and again. To minimize this, all workers should adopt the rules for specific purchases, such as maintaining a set pricing list and guarantee a limited error distance.

Explanation:

The following are the risks which currently exist in the Central Production Limited conversion cycle:-

  • Lack of a "Maker and Checker" concept:- It is important because it executes the role of a sort account executive to check that the instructions and demands presented are correct and are not replicated. It would be extremely effective that someone in a position of power and authority might supervise certain rates and with certain operations.
  • Use of Hard-copies:- The production center supervisor will temporarily suspend the use of such hard copies for each production process. It is not only a resource loss, but risks being lost or duplicated as well. It really would give them a better chance if all online requests could be collected which would be far more effective and could be seen by all stakeholders. It will also lead to better leadership and faster distribution of information.
  • Wastage:- Tests should be in place to determine why additional material is needed above the normal volume, and it should be approved by a senior authority to the superintendent of the production line.
  • Supply Chain Management:- Interactions between a variety of agencies are too many. Use an ERP (Enterprise Resource Planning) device to help in streamlining the entire process flow will serve them well.
5 0
3 years ago
Example of demand in economics.
sweet [91]
Examples<span> of the Supply and </span>Demand<span> Concept. Supply refers to the amount of goods that are available. </span>Demand<span> refers to how many people want those goods. When supply of a product goes up, the price of a product goes down and </span>demand<span> for the product can rise because it costs loss.</span>
5 0
2 years ago
Where a producer chooses the intensity level of its market coverage, which level is chosen to utilize the “shotgun” approach?
dsp73

Answer:

The level that utilizes the "shotgun" approach to market coverage is:

Intensive Distribution (mass coverage).

Explanation:

This marketing approach aims to reach many consumers through as many sales channels as possible.  In this situation, consumers have easy access to the goods or services.  The other approaches include Selective Distribution (where few outlets in specific locations are selected for the distribution of the goods and services) and Exclusive Distribution (where limited outlets are chosen because of the target market).

6 0
2 years ago
A company produces 3 products that use labor and raw material. The labor usage, raw material usage, and profit per pound produce
Gekata [30.6K]

Answer:

sea 100% la materia prima disponible

si consume el 40% lo que le queda es 60%

60% < > 40% + 57

20% < > 57

si el 20% es 57 el 100% es 57 x 5 = 285kg

Explanation:

8 0
3 years ago
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