A stock is selling for $25. At the same time a six-month put option to sell the stock for $25 is selling for $2. (15 points).
a. If the investor purchases BOTH the stock AND the put (i. e., construct a protective put), what is the net dollar profit or loss if the price ends at $0, $15, $25, $50, or $500 at maturity?
b. What is the maximum potential loss from this protective put?
c. What is the maximum potential gain from this protective put?
d. What is the break-even stock price?

Grace period is a period of time before the credit card company starts charging late fees.truefalse

An annuity that goes on indefinitely is called a perpetuity. the payments of a perpetuity constitute a/an series. the equation is: a stock with no maturity is an example of a perpetuity. quantitative problem: you own a security that provides an annual dividend of $170 forever. the security’s annual return is 9%. what is the present value of this security? round your answer to the nearest cent. $

Which of the following statements about brand names is true? brand names give the seller an incentive to provide consistently high-quality products and services in order to protect the reputation of the brand. brand names are always economically wasteful since they dupe consumers into buying more expensive goods and services that are no different from generic versions. it is always rational to prefer brand names over generic substitutes. read the following example and determine whether it illustrates a common critique or defense of advertising. musashi sees a commercial for a brand x clothing company that depicts the wearers of the clothes out having a good time with friends. although he doesn't particularly need new clothes, the commercial prompts him to buy a brand x t-shirt.