Calculate premium on put using the given details - Current price - $95 Exercise price - $97 Risk free rate - 8% Years to maturity - 1 Call premium - $20
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Calculate premium on put using the given details -
Current price - $95
Exercise price - $97
Risk free rate - 8%
Years to maturity - 1
Call premium - $20
Have rechecked and revised the figures. Correct spot price is $95 not $125 as asked earlier.
Thank you and sorry for previous mistake :)
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- Find the forward premium or discount for C$ if the spot rate is $1.03 per C$ and forward rate is C$1.03 per $Suppose you are offered $7,100 today but must make the following payments: 1 2 Cash Flows ($) O $7,100 1-3,800 2-2,500 3 -1,600 4 -1,400 Year 4 6. 7 9. 10 11 What is the IRR of this offer? (Do not round intermediate calculations. Enter your ans 12 a. 13 14 15 16 17 b. If the appropriate discount rate is 10 percent, should you accept this offer? 18 19 multiple choice 1 20 21 Reject Ассept 22 23 24 25 C. If the appropriate discount rate is 19 percent, should you accept this offer? 26 27 multiple choice 2 28 29 Аcсept Reject 30 31 32 33 What is the NPV of the offer if the appropriate discount rate is 10 percent? (A negative ar What is the NPV of the offer if the appropriate discount rate is 19 percent? (A negative ar 34 d-1. 35 d-2. 36Leave the above three sub-parts and do d,e,f sub-parts
- Calculate the forward discount or premium for the following spot and three-month forward rates: (a) Spot Rate = $2.00/£1 and Forward Rate = $2.01/£1 (b) Spot Rate = $2.00/£1 and Forward Rate = $1.96/£1Please answer this question correctly. Thank you.An annuity pays $200 at the end of each period for 10 periods. Set up the CFs in an Excel spreadsheet. The current value of this stream of CFs is $1,544. What is the implied discount rate? Solve the problem using the following approaches: a. Use trial and error or Goal Seek in Excel (tab Data/What-if-Analysis). b. Use the excel built-in function RATE.
- Want Correct Answer with calculation and explanationA company has offered you two different payment plans for purchasing a product, • Option A. 15% down payment (of the total price) and 10 annual payments of $1,200.• Option B. No down payment and 12 annual payments of $ 1,500.Treat the down payment as occurring at Year 0. Assume an interest rate of 8% per year. a. What is the down payment of Option A?b. What is the price paid for the product under Option A?c. What is the price paid for the product under Option B?d. Which payment option should be selected, A or B?e. Briefly explain why someone might choose the option that has the larger sale price.Please Provide Answer with calculation