Wilma's Winery uses the indirect method to determine net cash provided by operating activities. During 2017, Wilma experienced a

A stock index spot price is $1,287. the zero coupon interest rate is 3.8%. what is the potential arbitrage profit if the 6-month

jek_recluse [69]

The potential profit if the future contract on the index for the stock is priced at $1350 will be $39.45.

<h3>What is potential profit?</h3>

The ability or the capacity of an individual or a group to potentially earn higher amount of monies in the future trading transactions during a given financial period, is known as potential profit.

The computation of potential profit will be such that the return at the rate of 3.8% would have a given a maximum return of $48.9 annually($24.45 in 6 months); however, the index after 6 months is priced at $1350.

Potential Profit= 91350-1335+24.450 = $39.45

Hence, the potential profit is as computed above.

Learn more about potential profit here:

brainly.com/question/22714492

#SPJ1

6 0

2 years ago

What's going on here? As soon as Dewey Cheatum and Howe Motors increase the prices on their SUVs, then so does their only compet

Vedmedyk [2.9K]

Answer: <em>Oligopolistic Competition</em>

Explanation:

Here, in this particular case we can state that the competition that persists in this scenario is <em>Oligopolistic Competition. </em>It is referred to as the situation in a market under which there tend to be only few sellers that further sell a differentiated product, here the seller tends to have higher percentage of market control and thus they further cannot allow themselves to disregard the conduct of other sellers.

8 0

3 years ago

A major factor contributing to the slow growth rate of less developed economies is

Elden [556K]

<span>The lack of well-defined and enforceable property rights is the major factor when it comes to the slowing growth rate of the less developed economies. Properties provide a big percent when it comes to economy value, and without a proper property rights, collecting taxes will not be implemented well.</span>

4 0

3 years ago

Sarah has a toothache. She believes it may be due to her not having regular dental checkups in the past. She now wants to find a

Ilia_Sergeevich [38]

Answer:

Credence properties

Explanation:

Dentistry has a Credence property because it is a Service provided by medical specialized professionals. medical diagnoses and legal services have credence properties, or characteristics. A consumer may find a service with Credence property impossible to evaluate even after purchase and consumption. To reduce this uncertainty, service consumer like Sarah turns to personal sources of information like her friends during the purchase decision process

8 0

2 years ago

Dj, inc., has net working capital of $2,170, current liabilities of $4,590, and inventory of $3,860.

jenyasd209 [6]

The above answer can be explained as under -

Given,

Current Liabilities = $ 4,590

Net working capital = $ 2,170

So, the current assets will be calculated as under -

Net working capital = Current assets - Current liabilities

$ 2,170 = Current assets - $ 4,590

Current assets = $ 2,170 + $ 4,590