A us firm has a 100,000 mexican peso receivable

Assignment Help Finance Basics

Reference no: EM13494634

A US firm has a 100,000 Mexican peso receivable. The company has purchased a currency put option to hedge the receivable. The premium is $.02 and the exercise price is $.80. The spot rate of the peso at the time that the option matures is $.87.

Reference no: EM13494634

Questions Cloud

Estimate the direction of the velocity of the stone : 0.120 stone rests on a frictionless, horizontal surface. A bullet of mass 5.00 , traveling horizontally at 370 , Compute the direction of the velocity of the stone after it is struck

Explain a compound of chromium and oxygen : A compound of chromium and oxygen contains 18.9 g of the nonmetal and 41.1 g of the metal. How many grams of chromium are in 1.22 kg of the compound

What is the density of seawater at this depth : In the Challenger Deep of the Marianas Trench, the depth of seawater is 10.9 km and the pressure is 1.16 x 10^8 Pa. What is the density of seawater at this depth

How simple data analysis methods you are to use in project : Explain briefly how simple data analysis methods you are to use in this project can be used in your chosen engineering discipline and for what purpose.

A us firm has a 100,000 mexican peso receivable : A US firm has a 100,000 Mexican peso receivable. The company has purchased a currency put option to hedge the receivable. The premium is $.02 and the exercise price is $.80. The spot rate of the peso at the time that the option matures is $.87..

How long is the ball in contact with the ground : A rubber ball is dropped from a distance of 1.40 m above ground and bounces to 60% of its original height. how long is the ball in contact with the ground

Evaluate the enthalpy change in kj for the reaction : Assume that the volumes are additive, the specific heat of the solution is 4.18 Jg-1°C-1 and that the density of the solution is 1.00 g mL-1 Calculate the enthalpy change, ?H in kJ for the reaction

What is the change in the entropy of the water : A container of water begins with a heat capacity of 500J/K (constant) and a temperature of 70?C. What is the change in the entropy of the water

Explain which combination below correctly pairs the anode : A concentration cell consists of two Ni / Ni2+ electrodes. The electrolyte in half-cell A is 0.50 M and the electrolyte in half-cell B is 0.0025 M. Which combination below correctly pairs the anode and the cell voltage

User Account

All Pages