Answer:
Software as a Service (SaaS)
Explanation:
Software as a service (SaaS) allows users connected to cloud-based applications over the Internet and use them. Some common examples are email, calendars and office tools (such as Microsoft Office 365).
SaaS offers a comprehensive software solution that is acquired from a cloud service provider through a pay-per-use model. It is possible to rent the use of an application for the organization and users connect to it through the Internet, usually with a web browser. All underlying infrastructure, middleware, software and application data are located in the provider's data center. The service provider manages the hardware and software and, with the appropriate service contract, will also guarantee the availability and security of the application and data. SaaS allows an organization to get started and can run applications with a minimal initial cost.
Answer:
A) if the present value of the expected income stream associated with the investment is greater than the full cost of the investment project.
Explanation:
It is when the present value of the expected income stream associated with the investment is greater than the full cost of the investment project that the project is profitable. Most investments are undertaken with the aim of making profits.
The net present value can be used to determine if the present value of the expected income stream associated with the investment would be greater than the full cost of the investment project.
Answer:
A
Explanation:
A budget constraint is a graph that shows all the combination of goods a consumer can consume given current prices and income of the consumer.
If income increases, the budget constraint will shift out parallel to the old
If income decreases, budget constraint will shift in parallel to the old one.
Answer:
To hedge the preferred stock position, the manager should: Buy tyx calls
Explanation:
When market interest rate rise preferred stock drop. To hedge using interest rate index option, <em>the contract must offer an offsetting profit during a period of rising interest rates. Therefore buy TYX calls. </em>These will continue to give ever increasing profit as market interest rate continue to rise. And it will offset the ever increasing loss that would be incurred on the XYZ preferred stock position as the market interest rate continues rising.
The hedge is that Any loss on preferred stock position would be offset by corresponding gain on the long interest rate index call position.