Net income $133,720 12,060 Preferred dividends Average stockholders' equity 1,064,390 Average common stockholders' equity 887,500

Q: Consider a position of two purchased calls (AT&T, three months, K30) and one written put (AT&T,…

A: Delta is a commonly used Greek letter in options trading to represent the sensitivity of an option's…

Q: ontal and vertical analysis. Which type of analysis did you do?

A: In selecting the company for investment it is quite necessary to develop the financial statment and…

Q: What are the cell #s in the NPV formula?

A: The difference between the present value of cash inflows and the present value of cash outflows over…

Q: In linear regression, compare independent and dependent variables.

A: Linear regression refers to a time series model in statistics that is used for predictive analysis.…

Q: why we o or do not want to create a histogram for each variable

A: The objective of the question is to understand the reasons for creating or not creating a histogram…

Q: Explain the put call parity model. What are the advatages and disavantages of it?

A: Put-call parity characterizes the connection between calls, puts and the underlying assest price or…

Q: Explain when to use the single-period model and when to use a multi-period model.

A: The difference between the two models is that the multi-period model may involve the stock leftovers…

Q: How is RI calculated?

A:

Q: Could you please show the breakdown of NPV calculation for each fraction

A: Net Present Value: It represents a profitability measure for an investment or a project. The…

Q: What is multiple IRRs?

A: Multiple IRRs IRR is a discounting rate at which an amount of investment equals PV of the future CF.…

Q: Draw a figure to explain Elements of required return - establishing a MARR?

A: The figure is represented as below: Note: Values assumed

Q: Describe the process of calculating NPV.

A: Net Present Value (NPV) is a capital budgeting technique which uses a discount rate to bring all the…

Q: What is the DCF method?

A: DCF is a complex tool for valuation which approximates the value of any investment depending upon…

Q: what is z table? and how do i figure that part out?

A: Z table is a statistics related table which also finds ample use and application in the world of…

Q: The linear kos function is written by the equation Y = a + bX. of the equation, X represents.....

A: Linear functions can be defined as the graph that is a straight line with equation of: Y = a = bX. A…

Q: What are the assumptions of Walter’s model?

A: The Walter Model of Careers is an influential theory in the field of career development. This model…

Q: How did you compute what the "R" value was in the equation?

A: IRR is the internal rate of return and is the break even rate of return at present value of cash…

Q: What is forward points?

A: Forward points are nothing but basis points added or subtracted from the spot rate of an underlying…

Q: Why is this formula very important F = P( I + i)?

A: Time value of money (TVM) The thought cash you at present have would, later on, be worth more than a…

Q: What is a cross rate?

A: Cross rate is an exchange rate of currency between two countries, but both countries are not using…

Q: How do I calculate FIFO and LIFO?

A: Meaning of FIFO:First in first out means if company purchases any goods for sale purpose then…