Answers: 2
Business, 22.06.2019 12:10
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
Answers: 1
Business, 22.06.2019 13:30
On january 2, well co. purchased 10% of rea, inc.’s outstanding common shares for $400,000, which equaled the carrying amount and the fair value of the interest purchased in rea’s net assets. well did not elect the fair value option. because well is the largest single shareholder in rea, and well’s officers are a majority on rea’s board of directors, well exercises significant influence over rea. rea reported net income of $500,000 for the year and paid dividends of $150,000. in its december 31 balance sheet, what amount should well report as investment in rea?
Answers: 3
Business, 22.06.2019 14:00
Which of the following would be an accurate statement about achieving a balanced budget
Answers: 1
Business, 23.06.2019 01:30
What is the minimum educational requirement for a pediatric psychopharmacologist? a. md b. phd c. bachelors in medicine d. masters in medicine e. psyd
Answers: 3
Current recommendations for fruit and vegetable intakes are for us to consume a variety from each ca...
Business, 20.01.2021 15:20
Biology, 20.01.2021 15:20
Mathematics, 20.01.2021 15:20
Spanish, 20.01.2021 15:30
Social Studies, 20.01.2021 15:30
Mathematics, 20.01.2021 15:30
Social Studies, 20.01.2021 15:30
Advanced Placement (AP), 20.01.2021 15:30
Mathematics, 20.01.2021 15:30
Chemistry, 20.01.2021 15:30
World Languages, 20.01.2021 15:30
Biology, 20.01.2021 15:30