Answer:
Stock Price is $98.70
Explanation:
given data
exercise price = $100 per share
call price = $25 per share
put price = $17 per share
mature time = 2 years
annual rate of interest = 5%
to find out
What is the stock price today
solution
we will use here Put Call Parity for find out Stock Price that is express as
C +
= S + P .....................a
we know here that C is call price and r is rate and t is time and S is Stock Price and P is put price
so put all value in equation a
C +
= S + P
25 +
= S + 17
solve it we get
P = $98.70
so Stock Price is $98.70
Answer:
The correct answer is letter "D": rationalization.
Explanation:
Rationalization refers to the restructuring of a company in terms of changing its operational processes, strategy, or corporate size on an attempt of increasing its efficiency. That stage is reached by reducing costs and increasing profits. The introduction of a new product could push a firm to rationalize whether to expand or cut part of its operations.
The correct answer would be TRUE, In lean operations, input resources arrive for processing only after the preceding batch has been completed.
Answer:
The description of the given term "Business operations" is provided below.
Explanation:
- Together with all measures essential to manage as well as generate money besides your firm, is considered as business operations.
- Sometimes a component devoted to the industry would be included throughout the marketing strategies, enough so founding members comprehend or recognize the authoritarian leadership style, machinery, personnel, including procedures.
Answer:
5%
Explanation:
stock's Alpha = R - Rf - beta (Rm - Rf)
- R represents the stock's return = $6/$25 = 24%
- Rf = 6%
- Beta = 1.3
- Rm = 16%
Alpha = 0.24 - 0.06 - 1.3 (0.1) = 0.24 - 0.06 - 0.13 = 0.24 - 0.19 = 0.05 = 5%
A stock's Alpha is basically the excess return that the stock yields compared to an specific benchmark, e.g. S&P 500, Dow Jones.