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tatyana61 [14]
2 years ago
6

8. The delta of a call option on a firm's assets is .624. How much will a project valued at $48,000 increase the value of equity

Business
1 answer:
erastovalidia [21]2 years ago
7 0

Answer: $29952

Explanation:

From the question, we are informed that the delta of a call option on a firm's assets is 0.624 and that the project is valued at $48,000.

The increase in the value of the equity will be calculated as:

= Value of project investment × Delta of the call option

= $48,000 × 0.624

= $29952

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Answer: $18

Explanation:

Based on the information,

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Question #1
Allisa [31]

Answer:

Oligopoly.

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Hence, it is a market structure that is distinguished by several characteristics, one of which is either similar or identical products and dominance by few firms.

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According to the concentration ratio, when a small number of companies control more than 40 percent of a market, it is called an oligopoly.

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