How many number of contracts must be bought or sold

Assignment Help Financial Accounting
Reference no: EM132539750

Question 1: A company has a Rs.30 lacs portfolio with a beta of 1.44. It would like to use futures contract on the BSE Sensex to hedge its risk. The index is currently standing at 28221 (as on 5-Oct-2018) and each contract is for 10 contracts. How many number of contracts must be bought or sold by the company?

Reference no: EM132539750

Questions Cloud

What will be initial margin deposit and maintenance : On 05-Oct-2018, If you want to long 6 contracts in this future, what will be your initial margin deposit and maintenance margin amount?
Machines that can be installed and replaced : But can an ethical argument be made to treat people in the workplace as machines-that is, to abruptly hire them when they are
Determine what is the maturity value : A nine-year, $270,000 promissory note bears compound interest at a rate of 8% compounded annually. What is its maturity value? Provide suitable example.
Is there a place for compassion in business : Is there a place for compassion in business? From a manager's perspective, how should compassion be defined within a business context?
How many number of contracts must be bought or sold : How many number of contracts must be bought or sold by the company? A company has a Rs.30 lacs portfolio with a beta of 1.44.
Find what is the firm wacc and total corporate value : If it decreases leverage, rs will be 12%. Determine What is the firm's WACC and total corporate value under each capital structure?
Major elements of organisational culture : Explain the major elements of organisational culture at different levels of awareness?
What variable represents the correlation coefficient : What is correlation analysis, and what variable represents the correlation coefficient? What does it mean for the correlation to be statistically significant?
Different training methods : Give some views as an HR manager how will manager make sure that their employees are getting the best training

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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!

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