When you sell a 1-month straddle on ABC stock at a volatility of 30% and actual (realized) volatility over the next month turns out to be 25% , then you will likely have lost money by the time the option expires True False

Q: 0. 00000

A: Please feel free to ask any questions you have, and I'll do my best to provide you with the…

Q: What is the value of (A/G, 3.3%, 10)? a. 3.3297 b. 4.2326 O c. 4.5050 d. 4.0220 e. 5.0117

A: Annuity refers to series of equalized payments that are either made at start or end specific…

Q: please explain 120/360

A: Solution: Interest amount is computed using formula = Principal * Interest rate * time Where time is…

Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…

A: T Accounts    1. Cash Account Particular Debit Particular Credit         To capital A/c…

Q: 8. If money is worth (.06, m = 4), find the present value of a perpetuity $1000, paid semi-annually,…

A: Present value of perpetuity is the value of an asset whose cash flow is received forever.

Q: answer for the last one: The VAT Payable a.61,065 b. 69,815

A: The first 3 questions answers are provided in original question.

Q: Please answer sections d), e) and f)

A: Debt Management Ratios are financial metrics that provide insights into a company's ability to…

Q: What is the result in C9? 1 23456 8 B Year O a. #DIV/01 Ob N/A Oc. Accept O d. Reject 0 1 2 3 4 C…

A: NPV represents the amount of value generated by a project and is expressed in absolute dollar terms.

Q: Question 8

A: When net credit sales is divided with average accounts receivable it results in receivable turnover…

Q: I only get sub parts D) an

A: Depreciation is the process of reducing the value of the assets. It is a non-cash expense of the…

Q: 2/120? а. 36 b. 8 С. 24

A: Factors for 152: 1, 2, 4, 8, 19, 38, 76, and 152 Factors for 120: 1, 2, 3, 4, 5, 6, 8, 10, 12, 15,…

Q: Flint Corporation issued 1,900 shares of stock.

A: A Journal entry is a primary entry that records the financial transactions initially. The…

Q: Windhoek Mines, Limited, of Namibia, is contemplating the purchase of equipment to exploit a mineral…

A: NET PRESENT VALUE Net Present Value is one of the Important Capital Budgeting Technique.  Net…

Q: What are the two implications of M&M Proposition I without taxes?

A: Capital structure is the mixture of company's debt and equity issued during the year for the purpose…

Q: Required b only, thank you!

A: Journal entries are the entries to be recorded in the accounting books of the business for all the…

Q: tis the value of (F/G 1. 9.4136 30.7297

A: Given information :

Q: What is AAA (Section 1368(e))

A: The S corporation is a corporation that chooses to pass all income, losses, deductions, and all…

Q: 42. (13.0) 【) Discuses at least three considerations around the ethics of accepting gifts

A: The giving and accepting of gifts has an important role in facilitating business relationships. for…

Q: How do you solve (3.78./2.27)^(1.4)-1?

A: In this Firstly solve the values in the bracket, dividing 3.78 by 2.27. After that taking the value…

Q: . What does "ADR" stand for? (just the full name-no explanation needed)

A: There are many investors in the US who wants to invest in the companies that are outside US…

Q: What is Break Even Point?

A: BEP is called as break even point. Formula: Break even point = Fixed cost / Contribution per unit

Q: x 13579 y 143 116 100 98 90 What is the correlation coefficient for the data set (rounded to two…

A: The given problem can be solved using CORREL function in excel. CORREL function computes correlation…

Q: The answer is somewhat close. The right answer is 1.5337 Please clarify

A: Stock price is $50 Strike price is $52 Risk free rate is 1% Time period is 3 months To Find: Value…

Q: E14.3 (b)

A: The cash flow statement is helpful for the stakeholders as they can identify the organization's…

Q: Where is the answer for number 4 and 5 answe

A: The following types of Financial statements as follows under:- Balance Sheet. Income Statement.…

Q: Could you answer question 4-7? Please

A: The total value of the goods still in stock in a company's inventory at the end of an accounting…

Q: (P/A, 5%,7) has a value equals to a. 5.7864      b.  0.070 c. 8.142        d. 0.8142

A: (P/A, 5%,7) means Present Value Annuity Factor @ 5% for 7 Periods.

Q: Use a two period binomial tree to price a 8 month American style call on on TFS struck at $8. The…

A: Financial derivatives known as call options and put options provide the holder the right, but not…

Q: The amount by which the balance sheet does not balance at first is called _______. A. total B.…

A: When balance sheet doesn't balance at the first, it means there is some error or mistake which need…

Q: e M&M Proposition I without taxes?

A: Introduction : The Modigliani–Miller theorem can be understood as the well-known piece of economical…

Q: 1,525,394 is the wrong answer. what is the correct one?

A: The recovery of net working capital (NWC) refers to the return of funds initially tied to current…

Q: 16) Find the gaps in the following table: Item Capital (S) 12,350 a. b. ?? C. 33,266 d. ?? e. 11,900…

A: Solution:- Capital employed means the amount invested in the business. So, Capital = Assets –…

Q: What is Operational Cycle?

A: The management of the corporation uses to identify the operational cycle to get a rough idea about…

Q: You didnt answer the question 4, 5 , 6

A: Under or Overapplied Overhead: When real manufacturing overhead expenses exceed allocated…

Q: 6, 7, and 8 are not answe

A: 4. What was the cost of goods manufactured for the year -$ 912,1005. What was the cost of goods sold…

Q: E11.4

A: Bonds payable: It is a long term liability to the organization issuing it. It is issued to raise…

Q: When I type in that calculation is comes out as "0"   =PMT(B2/12,B3*12,-B1)

A: PMT function is a financial function of excel. It is used to compute the periodic payment amount.…

Q: Why is a policy statement important?

A: A policy statement or an investment policy statement is a document created by the investment…

Q: 14. Determine the numerical value of the factor (F/A, 5%, 10). A 0.1295 B 0.0795 12.5779 D 7.7217

A: Future value is the value of a certain sum of money in the future. The future value of the annuity…

Q: What is the value of (F/G, 3.2%, 7)? a. 17.7723 O b. 22.1565 O c. 2.8741 O d. 1.2467 O e. 7.7090

A: Future value gradient(F/G) =(1+i)n-1i Where  i =interest rate n=number of years

Q: Please answer section d) only

A: Degree of combined leverage (DCL) It is a leverage ratio that includes the combined effects, caused…

Loanable Funds Theory

The loanable funds theory is a neoclassical theory that determines the interest rate where the demand for loanable investments and supply of loanable funds intersect. To determine the interest rate, this theory employs linear regression and a demand curve. At the equilibrium point, demand for borrowings and demand for the issuance of borrowing funds are inextricably linked. This point of equilibrium should equalize demand and the supply of money available for borrowing.