During the 1990s, gtr corporation put together a long string of consecutive quarters in which the firm managed to meet or beat the earnings forecasts of wall street stock analysts. some skeptics wondered if gtr managed earnings to meet wall streets expectations, meaning that gtr used accounting gimmicks to conceal the true volatility in its business. how do you think gtrs long run of meeting or beating earnings forecasts affected its cost of capital? if investors learn that gtrs performance was achieved largely through accounting gimmicks, how do you think they would respond?

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