Business, 10.12.2019 19:31 ggcampos

The price of chive corp. stock will be either $86 or $119 at the end of the year. call options are available with one year to expiration. t-bills currently yield 5 percent. a. suppose the current price of the company's stock is $97. what is the value of the call option if the exercise price is $85 per share? (do not round intermediate calculations and round your answer to 2 decimal places, e. g., 32.16.) b. suppose the exercise price is $115 and the current price of the company's stock is $97. what is the value of the call option now? (do not round intermediate calculations and round your answer to 2 decimal places, e. g., 32.16.)

Answers: 1

Show answers

Other questions on the subject: Business

Business, 22.06.2019 04:30, juliashalnev

The lee family is looking to buy a house in one of two suburban areas just outside of a major city, and air quality is a top priority for them. overall air quality is calculated by taking measures in 100 locations within each suburb and then calculating a measure of central tendency. in one suburb, there is a major bus station that creates very poor air quality at its location but has no impact in the surrounding parts of the suburb. in this situation, which measure of overall suburb air quality would be most useful?

Answers: 3

continue

Business, 22.06.2019 10:10, sydc1215

At the end of year 2, retained earnings for the baker company was $3,550. revenue earned by the company in year 2 was $3,800, expenses paid during the period were $2,000, and dividends paid during the period were $1,400. based on this information alone, retained earnings at the beginning of year 2 was:

Answers: 1

continue

Business, 22.06.2019 19:40, raymondleggett44

When a company produces and sells x thousand units per week, its total weekly profit is p thousand dollars, where upper p equals startfraction 800 x over 100 plus x squared endfraction . the production level at t weeks from the present is x equals 4 plus 2 t. find the marginal profit, startfraction dp over dx endfraction and the time rate of change of profit, startfraction dp over dt endfraction . how fast (with respect of time) are profits changing when tequals8?

Answers: 1

continue

Business, 22.06.2019 21:00, elenasoaita

Describe what fixed costs and marginal costs mean to a company.

Answers: 1

continue

You know the right answer?

The price of chive corp. stock will be either $86 or $119 at the end of the year. call options are a...