Suppose cell b10 contains the price of a stock in 5 months. consider a 5 month european call option with an exercise price of $40. the value of the call option in 5 months is $0 if the stock price in 5 months is < =$40. otherwise the value of the call option in 5 months is the stock price in 5 months - 40. how many of the following formulas will yield the correct value of the call option?

• i. if(b10> 40,40-b10,0)
• ii. if(b10> 40, b10-40,0)
• iii. max(b10-40,0)
• iv. min( 0, 40-b10)

(a) i
(b) i and ii
(c) ii and iii
(d) i and iii
(e) iv
(f) i and iv

delaney would like to make a 5lb nut mixture that is 60% peanuts and 40% almonds.

she has several pounds of peanuts and several pounds of a mixture that is 20% peanuts and 80% almonds.

let 'p' represent the number of pounds of peanuts needed to make the new mixture, and  

let 'm' represent the number of pounds of the 80% almond-20% peanut mixture.

:

p + m = 5

therefore

m = (5-p)

write an equation based on the percent of peanuts

1p + .2m = .6(5)

replace m with (5-p)

p + .2(5-p) = .6(5)

p + 1 - .2p = 3

p - .2p = 3 - 1

.8p = 2

p = 2/.8

p = 2.5 lbs of peanuts required

then

5 - 2.5 = 2.5 lbs of the peanut/almond mixture required

:

a) what is the system that models this situation?

p + m = 5

1p + .2m = .6(5)