User Account

All Pages

Calculate the value of the forward to the short position

Assignment Help Accounting Basics
Reference no: EM132990561

Question - A forward contract, which was previously priced at $36.5, will expire in 200 days. The risk-free rate is 0.3% per annum with continuous compounding. Assuming that one year has 365 days and the current stock price is $40.3 per share. Calculate the value of the forward to the short position?

Reference no: EM132990561

Questions Cloud

Discuss difficult transition : Discuss a difficult transition that you have made in the workplace. What lesson did you learn from that experience?
What is the three-year forward price : The asset provides an income of $2 at the end of the first year and at the end of the second year. What is the three-year forward price
Explain the concepts of local currency : Explain the concepts of Local Currency, Functional Currency and Presentation Currency with suitable examples
E-portfolios are considered authentic work-products : E-portfolios are considered the authentic work-products of students and well-suited for self-assessment and peer-review
Calculate the value of the forward to the short position : Assuming that one year has 365 days and the current stock price is $40.3 per share. Calculate the value of the forward to the short position
Collecting data for business analytics : Why is it important to have a strategic target when collecting data for business analytics? How does the methodology used to collect the data affect the outcome
Demonstrate effective business analytics skills : Analyse critically, reflect on and synthesise techniques of data visualisation and data mining - Critically analyse, synthesise and reflect on decision analysis
How effectively do canadian businesses and government engage : How effectively do Canadian businesses and government engage to promote a shared vision and agenda in the global business environment?
What is forecast of the company year-end inventory : Given the estimated sales forecast and the estimated relationship between inventories and sales, what is your forecast of the company's year-end inventory

Reviews

Write a Review

Accounting Basics Questions & Answers

  In 2009 aggie revised its total estimated life to 10 years

aggie co. purchased equipment on january 1 2004 at a cost of 650000. the asset was estimated to have a 12-year life

  Calculate the cost of inventory as of february

During the months of January and February, Axe Corporation purchased goods from three suppliers. Calculate the cost of inventory as of February 28.

  What is total bad debt expense

Swathmore Clothing Corporation grants its customers 30 days' credit. What is total bad debt expense for 2013

  How would the changes in net assets amount be impacted

How would the changes in net assets amount be impacted in the Water and Wastewater Enterprise Fund by the transaction summarized above?

  Discuss the polishing department of harbin company

The Polishing Department of Harbin Company has the following production and manufacturing cost data for September

  Compute norstar earnings per share for the year ended

For the year ended December 31, 2011, Norstar Industries reported net income of $655,000. Compute Norstar's earnings per share for the year ended December

  Solve the unit breakeven sales level for possible price

If the market's price elasticity for this product is -2.6, should the product manager go ahead with the 25 percent price decrease? Justify your answer

  Explain how could use new technologies such as ai to support

If you were the owner of a medium to large company, how could you use new technologies such as AI to support your daily operations?

  Necessary adjustments for changes in fair value.

1.On January 1, 2013, S&S Corporation invested in LLB Industries  negotiable two year, 10% notes, with interest receivable quarterly.

  Who are the stakeholders in this situation

Identify issues when dealing with errors found after the release of financial statements. Who are the stakeholders in this situation

  What the initial cost of the machinery was

What The initial cost of the machinery was? Yearly net cash inflow $45,000. Internal rate of return 18%. Salvage value - 0 -. Useful life 6 years

  Products sold were snow blowers and lawn mowers

Products sold were snow blowers and lawn mowers. Each product sold for $700. Purchases during 2013 were as follows:

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd