Answer:
D. A position where an option has been sold.
Explanation:
The option writer has a SHORT position in options. This is when a writer sells a put or call they don't own; in other words, they are short the put or call.
Answer: $107,900
Explanation:
Cumulative Preferred Shares refer to shares that a company has to pay dividends eventually. This means that if they are unable to pay for some years, they are to accrue that payment until they are able to.
There are 119000 shares of no-par 6% preferred stock with a stated value of $5.
That means preferred shares are liable to the following amount of dividends,
= 119,000 * 5 * 6%
= $35,700
Preferred Shares have not being paid for the past 2 years and need to be paid in the current year as well. That means 3 payments,
= 35,700 * 3
= $107,100
Preferred Shares are to be paid $107,100 out of the $215,000 with the rest going to common shares.
Amount going to Common Shares is,
= 215,000 - 107,100
= $107,900
Common Stockholders are to receive $107,900
Answer:
$74.61 per share , decrease.
Explanation:
First calculate value of preferred share if return is 13.94% ;
Value of preferred share =(Annual dividend rate * Par value)/ Rate of return
Value = (0.1040* 100)/0.1394
Value = 10.40/ 0.1394
Value = $74.61
Next, calculate value of preferred share if return is 18.12% ;
Value of preferred share =(Annual dividend rate * Par value)/ Rate of return
Value = (0.1040* 100)/0.1812
Value = 10.40/ 0.1812
Value = $57.40
Since the value has gone from $74.61 to $57.40, it means that the value will DECREASE.
Answer:
The correct answer is (b)
Explanation:
Sale promotion is an effective way to improve short-term sales and at the same time attract new potential buyers. Ice scrapers sale promotion strategy will help them to increase their sales revenue. As they are offering buy two get one free sale on black Friday the overall prices will decrease that will increase the demand.
Answer:
The registered representative should accept the client's sell order, but must mark the order ticket as a long term. The representative can accept the order because it is reasonable that the client will be able to deliver the shares by the time of the settlement. If the representative marked the order ticket as a short sale, it is probable that the client will not be able to deliver the shares on time.
Explanation:
