Answer:
The answer is 14.87%
Explanation:
Solution
Given that:
A large company stock had an average return of =12.59%
The average risk free rate = 2.58%
A small company stocks average is =17.45
The next step is to find the risk premium on small-company stocks for this period
Thus,
The risk premium on small-company stocks = Average return on small-company stocks - average risk-free rate
So,
Risk premium on small-company stocks = .1745 - 0.258
=0.1487
Therefore the risk premium on small company stocks for the period was 14.87%
Extra (unbudgeted) income left at the end of the month should be A) Saved for emergencies. Saving your extra money that you have not spent should be placed in a savings account and can help you later on in the future and provide for emergency funds if needed.
The answer is: A
Answer:
d. If Cazden's stock price rose by $5, the exercise value of the options with $25 strike price would also increase by $5.
Explanation:
A call option confers a right, not an obligation upon the call buyer to buy a security at a pre determined price, known as exercise price or strike price at a future date.
A call buyer would exercise his right only in the scenarios wherein the strike price is lesser than the current market price on maturity.
Profit of a call buyer is given by = CMP as on expiry - Exercise/Strike price - Option premium paid
wherein CMP= Current Market Price
A call option is "in the money" when it's strike price is less than it's current market price. In the given case, it means if the CMP today represents CMP upon expiry, call buyer would exercise his right and his gain would be $5 i.e $30 - $25.
Since the $25 exercise option is "in the money", an increase in stock price by $5 will also increase the strike price by $5.
Answer:
all the given figures are wrong but i explained the correct procedure.
Explanation:
INCOME STATEMENT
Fees earned 17400
Expenses:
Depreciation expense 1300
Insurance expense 400
Supplies expense 3800 5500
Net Income 11900
Therefore, The Net income for the period is $11900.
Answer:
A judgement rating is an insurance rate that an underwriter assigns to a particular risk based on their subjective evaluation of that risk. Judgement ratings are frequently done on an individual basis and rely heavily on the experience, perception, and talent of the underwriter who makes the final evaluation.
