ILLUSTRATION 10. Following transaction are giv a. Started business with cash Rs. 250,000.
b. Goods purchased on credit of Rs. 40,000.
c. Goods costing Rs. 20,000 was sold for cash for R
d. Paid to creditors Rs. 10,000.
e. Amount withdrawn by proprietor Rs. 10,000.
f. Interest on capital Rs. 1,000.
8. Transfer from capital to loan Rs. 5,000
Required: Accounting equation
Solution

Profits from using currency options and futures.on july 2, the two-month futures rate of the mexican peso contained a 2 percent discount (unannualized). there was a call option on pesos with an exercise price that was equal to the spot rate. there was also a put option on pesos with an exercise price equal to the spot rate. the premium on each of these options was 3 percent of the spot rate at that time. on september 2, the option expired. go to the oanda.com website (or any site that has foreign exchange rate quotations) and determine the direct quote of the mexican peso. you exercised the option on this date if it was feasible to do so. a. what was your net profit per unit if you had purchased the call option? b. what was your net profit per unit if you had purchased the put option? c. what was your net profit per unit if you had purchased a futures contract on july 2 that had a settlement date of september 2? d. what was your net profit per unit if you sold a futures contract on july 2 that had a settlement date of september 2

If an investment has 35 percent more nondiversifiable risk than the market portfolio, its beta will be:

Consider an economy where the government's budget is initially balanced. the production function, consumption function and investment function can be represented as follows y equals k to the power of alpha l to the power of 1 minus alpha end exponent c equals c subscript 0 plus b left parenthesis y minus t right parenthesis i equals i subscript 0 minus d r suppose that taxes increase. what happens to the equilibrium level of output?