What is the delta with respect to the index

Assignment Help Finance Basics
Reference no: EM13284369

The risk-free rate is 5% and the dividend yield on an index is 2%. What is the delta with respect to the index of a one-year futures on the index?

Reference no: EM13284369

Questions Cloud

What is the value of a six month call option : A futures price is currently 40 cents. It is expected to move up to 44 cents or down to 34 cents in the next six months. The risk-free interest rate is 6%. What is the value of a six month call option with a strike price of 39 cents?
Determine the temperature coefficient of resistivity : A wire 3.00 m long and 0.450 mm2 in cross-sectional area has a resistance of 41 at 20°C. what is the temperature coefficient of resistivity
Compute the available fading margin of antenna : The propagation law follows the free space up to a distance ofdbreak = 50 meters, and for larger distances the receive power is similar to(d/dbreak)-4.2. Transmit antenna gain is -7dB; the receive antenna gain is 9 dB. Compute the available fadi..
What is the cost of one contract : The price of a December put futures option is quoted as 5-52. Each Treasury bond futures contract is for delivery of $100,000 in Treasury bonds. What is the cost of one contract?
What is the delta with respect to the index : The risk-free rate is 5% and the dividend yield on an index is 2%. What is the delta with respect to the index of a one-year futures on the index?
Evaluate the mass of the product formed : For each of the reactions, calculate the mass (in grams) of the product formed when 15.51g of the underlined-?vAssume that there is more than enough of the other reactant.
How far away can you stand to hit the orange : You would like to shoot an orange out of a tree with your bow and arrow. The orange is hanging 5.00 m above the ground. how far away can you stand to hit the orange
Determine what is the noise figure of the receiver : (i) an antenna connector and feedline with an attenuation of 1.5dB; a low-noise amplifier with a noise figure of 4 dB and a gain of 10 dB, and a unit gain mixer with a noise figure of 1 dB. What is the noise figure of the receiver
Find the magnitude of the friction force on the upper box : You are lowering two boxes, one on top of the other, down the ramp by pulling on a rope parallel to the surface of the ramp. find the magnitude of the friction force on the upper box

Reviews

Write a Review

Finance Basics Questions & Answers

  What is the amount of the endowment required

What is the amount of the endowment required to establish the center and supply the funds to maintain this center forever?

  Discuss the drivers of energy price inflation and deflation

Cover the rollercoaster value changes that have occurred over the past few years, and your thoughts on the future of energy sources and value stabilization.

  Compute the stock price

Toyota has decided to offer new preferred stock for sale that it will call an 8-8 offering. This stock will pay an yearly dividend of $8 a share starting eight years from now.

  Calculating annual payments

Leases R Us, Corporation has been contracted by Robotics of Beverly Hills to provide lease financing for a machine that would assist in automating a large part of their current assembly line.

  Calculate standard deviation of expected returns

A portfolio is expected to return 16% in a booming economy, 12% in a normal economy, and 22% in a recessionary economy.

  It acquisition planning teams

Two IT acquisition planning teams worked together to study same problem and make alternative solutions for solving it. The teams then separated and each developed work breakdown structure for the same alternative solution.

  Calculate the expected rate of return for exxon

If the beta of Exxon Mobil is 0.65, risk-free rate is 4% and the market rate of return is 14%, calculate the expected rate of return for Exxon.

  Determining leadership behavior and motivation

What are your thoughts on bankruptcy for small businesses - both good and bad? What are your perspectives of both the business owner and the creditor?

  Problems-merger of corporation

When company acquires another company, when divisions merge, or when corporations merge, what are some of potential problems will they face with the management and integration of their respective technology and data processing systems?

  What would be the total tax payment and effective tax rate

What would be the total tax payment and effective tax rate if the income was earned by a branch of the US Corporation?

  Find current share price

Apocalyptica Corporation pays a constant $7.25 dividend on its stock. The firm will maintain this dividend for the next nine years and will then cease paying dividends forever.

  Explain the cash conversion cycle

Explain the cash conversion cycle (CCC) and net working capital. Why is this important to the contemporary executive? How do executive decisions regarding CCC and net working capital affect the company?

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