Which objective best describes you at work modest or optimistic

The common stock of the P.U.T.T. Corporation has been trading in a narrow price range for the past month, and you are convinced

konstantin123 [22]

Answer:

A) according to put call parity:

price of put option = call option - stock price + [future value / (1 + risk free rate)ⁿ]

put = $6.93 - $125 + [$140 / (1 + 5%)¹/⁴] = $6.93 - $125 +$138.30 = $20.23

B)

you have to purchase both a put and call option ⇒ straddle

the total cost of the investment = $6.93 + $20.23 = $27.16, this way you can make a profit if the stock price increases higher than $125 + $20.23 = $145.23 or decreases below than $125 - $20.23 = $104.77

4 0

2 years ago

The Box Manufacturing Division of the Allied Paper Company reported the following results from the past year. Shareholders requi

Galina-37 [17]

Answer:

Return n investment = 11.67%

Explanation:

Return on Investment is the proportion investment that is earned as operating income.

For the division, the return on investment would be the proportion of te investment in assets that is earned as net income.

This would be determined as follows;

Return n investment = (Net income÷ Operating assets) × 100

Return n investment = (175,000 ÷ 1,500,000) × 100= 11.67%

Return n investment = 11.67%

3 0

2 years ago

Which one of the following is a capital structure decision?

nirvana33 [79]

Answer:

B

Explanation:

Capital Structure decision is determining the optimal way of raising capital either through Equity or Debt.

8 0

2 years ago

A CFP professional is a Registered Investment Advisor managing 120 million in assets. One of his clients sends a complain letter

irinina [24]

SEC reviews the information and have the authority of regulatory disclosure for the ADV.

<h3>What is SEC and how it works?</h3>

SEC is a Securities and Exchange Commission in United States who regulates the nation's securities industries.

The basic functions of the SEC is to protect the investors, capital formation and maintain the fairness in the market.

SEC is the governing body which has the authority in the case of ADV form.

Learn more about the ADV form here:-

brainly.com/question/14326387

#SPJ1

4 0

1 year ago

Laurel, Inc., and Hardy Corp. both have 7 percent coupon bonds outstanding, with semiannual interest payments, and both are pric

cestrela7 [59]

Answer:

Laurel bond % change = -6.6%

Hardy bond % change = -16.3%

Explanation:

current bond price $1,000

interest rate 7%

Laurel bond matures in 4 years, 8 semiannual payments

Hardy bonds matures in 15 years, 30 semiannual payments

if market interest increases to 9%

Laurel bond:

$1,000 / (1 + 4.5%)⁸ = $703.19

$35 x 6.59589 (annuity factor, 4.5%, 8 periods) = $230.86

market price = $934.05

% change = -6.6%

Hardy bond:

$1,000 / (1 + 4.5%)³⁰ = $267.00

$35 x 16.28889(annuity factor, 4.5%, 30 periods) = $570.11

market price = $837.11

% change = -16.3%

3 0

3 years ago