Reconsider the determination of the hedge ratio in the two-state model where we showed that one-third share of stock would hedge one option. The possible end-of-year stock prices, uS0 = $120 (up state) and dS0 = $80 (down state). Required:
What would be the hedge ratio for each of the following exercise prices: 135, 122, 112, 92?

In a chapter 7 bankruptcy, a debtor:

Performance bicycle company makes steel and titanium handle bars for bicycles. it requires approximately 1 hour of labor to make one handle bar of either type. during the most recent accounting period, barr company made 7,700 steel bars and 2,300 titanium bars. setup costs amounted to $35,000. one batch of each type of bar was run each month. if a single company-wide overhead rate based on direct labor hours is used to allocate overhead costs to the two products, the amount of setup cost assigned to the steel bars will be:

If the economy were in the contracting phase of the business cycle, how might that affect your ability to find work?