subject
Business, 10.08.2021 05:00 notashley1703

he common stock of the C. A.L. L. Corporation has been trading in a narrow range around $130 per share for months, and you believe it is going to stay in that range for the next 3 months. The price of a 3-month put option with an exercise price of $130 is $11.10. a. If the risk-free interest rate is 9% per year, what must be the price of a 3-month call option on C. A.L. L. stock at an exercise price of $130 if it is at the money? (The stock pays no dividends.)

ansver
Answers: 2

Another question on Business

question
Business, 22.06.2019 02:30
Luc do purchased stocks for $6,000. he paid $4,000 in cash and borrowed $2,000 from the brokerage firm. he bought 100 shares at $60.00 per share ($6,000 total). the loan has an annual interest rate of 8 percent. six months later, luc do sold the stock for $65 per share. he paid a commission of $120 and repaid the loan. his net profit was how much? pls
Answers: 3
question
Business, 22.06.2019 15:20
Sauer food company has decided to buy a new computer system with an expected life of three years. the cost is $440,000. the company can borrow $440,000 for three years at 14 percent annual interest or for one year at 12 percent annual interest. assume interest is paid in full at the end of each year. a. how much would sauer food company save in interest over the three-year life of the computer system if the one-year loan is utilized and the loan is rolled over (reborrowed) each year at the same 12 percent rate? compare this to the 14 percent three-year loan.
Answers: 3
question
Business, 22.06.2019 20:30
Afirm wants to strengthen its financial position. which of the following actions would increase its current ratio? a. reduce the company's days' sales outstanding to the industry average and use the resulting cash savings to purchase plant and equipment.b. use cash to repurchase some of the company's own stock.c. borrow using short-term debt and use the proceeds to repay debt that has a maturity of more than one year.d. issue new stock, then use some of the proceeds to purchase additional inventory and hold the remainder as cash.e. use cash to increase inventory holdings.
Answers: 3
question
Business, 22.06.2019 21:00
You are given the following information about aggregate demand at the existing price level for an economy: (1) consumption = $400 billion, (2) investment = $40 billion, (3) government purchases = $90 billion, and (4) net export = $25 billion. if the full-employment level of gdp for this economy is $600 billion, then what combination of actions would be most consistent with closing the gdp gap here?
Answers: 3
You know the right answer?
he common stock of the C. A.L. L. Corporation has been trading in a narrow range around $130 per sha...
Questions
question
Mathematics, 31.08.2020 01:01
question
Mathematics, 31.08.2020 01:01
question
Mathematics, 31.08.2020 01:01
question
English, 31.08.2020 01:01
question
Biology, 31.08.2020 01:01
Questions on the website: 13722363