Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
One year ago, you sold a put option on 200,000 Canadian dollars with an expiration date of one year. You received a premium on the put option of $.03 per unit. The exercise price was $1.11. Assume that one year ago, the spot rate of the The Canadian dollar was $1.09, the one-year forward rate exhibited a discount of 1%, and the one-year futures price was the same as the one-year forward rate. From one year ago to today, the Canadian dollar depreciated against the dollar by 2 percent. Today the put option will be exercised (if it is feasible for the buyer to do so). Show all work and answer all questions. Determine the total dollar amount of your profit or loss from your position in the put option. Now assume that instead of taking a position in the put option one year ago, you sold a futures contract on 200,000 Canadian dollars with a settlement date of one year. Determine the total dollar amount of your profit or loss.
West County Corp. is considering a new project with estimated depreciation of $34,000, fixed costs of $35,000, and total sales of $73,600. The variable costs per unit are estimated at $4.60. What is the accounting break-even level of production?
What is the Journal Entry? The office manager in San Diego ordered $350 of office (operating) supplies from Staples. While on the way back from a delivery, one of the warehouse staff picked up the Staples order and brought it to GBI’s office.
You are chairperson of the investment fund for the Continental Soccer League. You are asked to set up a fund of semiannual payments to be compounded semiannually to accumulate a sum of $310,000 after ten years at a 14 percent annual rate (20 payments..
Commercial Insurance is a large stock property and liability insurer that specializes in the writing of commercial lines of insurance. The board of directors has appointed a committee to determine the feasibility of forming a new subsidiary insurer t..
Just as the interest rate sensitivity of a single cash flow increases with its maturity, the interest rate sensitivity of a stream of cash flows increases with its duration. A firm's market capitalization is determined by the difference in the market..
Assume that the average firm in your company's industry is expected to grow at a constant rate of 4% and that its dividend yield is 6%. Your company is about as risky as the average firm in the industry, what is the value per share of your firm's sto..
A 15-year annuity pays $2,150 per month, and payments are made at the end of each month. If the interest rate is 9 percent compounded monthly for the first eight years, and 6 percent compounded monthly thereafter, what is the present value of the ann..
You have been asked to make a short presentation at your company’s annual capital budget meeting to present an analysis of the strengths and weaknesses of the following capital budgeting selection methodologies: NPV, payback, IRR. Describe how you ..
the exchange rate between the us dollar and the swiss franc is sf1.31 and the exchange rate betweent he dollar and the
A project has an initial requirement of $83,389 for equipment. The equipment will be depreciated to a zero book value over the 5-year life of the project. The equipment will have an estimated salvage value of $22,842. The annual operating cash flow ..
Suppose the market portfolio's excess return tends to increase by 30% when the economy is strong and decline by 20% when the economy is weak. What is the Beta for a type S firm? What is an efficient portfolio? Explain why the risk premium of a stock ..
Suppose the following bond quotes for IOU Corporation appear in the financial page of today’s newspaper. Assume the bond has a face value of $2,000 and the current date is April 19, 2015. Company (Ticker): IOU, Coupon:7, Maturity: Apr 19, 2028, Last ..
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd