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Ainat [17]
2 years ago
13

Before expiration, the time value of a call option is equal to Group of answer choices zero. the actual call price minus the int

rinsic value of the call. the intrinsic value of the call. the actual call price plus the intrinsic value of the call.
Business
1 answer:
masya89 [10]2 years ago
6 0

Answer: the actual call price minus the intrinsic value of the call.

Explanation:

The actual price of a call is calculated as the sum of the intrinsic value of the call and the time value of the call option in the manner:

Price of call = Intrinsic value of call + Time value of call

The Time value of the call is therefore:

Change subject of below formula:

Price of call = Intrinsic value of call + Time value of call

Time value of call = Price of call - Intrinsic value of call

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Jackson Electric Services Company incurred​ $800 as a repair expense and paid for it in cash. The company is a sole proprietorsh
almond37 [142]

Answer: Option D

Explanation: Owners equity refers to the amount of funds made available by the owners to operate the business activities. It includes initial capital invested and profits generated for the period

In the given case, the expense of $800 did not bring any assets or liabilities to the entity. Such an expense will be recorded in income statement leading to decrease in profits, thus, resulting in decrease in owners equity.

5 0
2 years ago
Mr. alvarez studied the soap products on the store shelf. he looked for products with a familiar logo. this is an example of whi
cricket20 [7]

Answer:

brand image

Explanation:

4 0
2 years ago
Read 2 more answers
A company purchased equipment for use in the business at a cost of $36,000, one-fourth was paid in cash, and the company signed
Greeley [361]

Answer:

1. Dr Equipment     36000

       Cr     Cash                  9000

       Cr Notes payable       27000

  ( To record entry of equipment purchase on cash and on promissory note)

Explanation:

Equipment =  36000

Paid in cash = 36000 /4 =9000 and balance 36000-9000=27000 to be signed promissory note.

3 0
2 years ago
Suppose a movie theater determines it can charge different prices to patrons who go to weekday matinees and people who attend ev
bija089 [108]

Answer:

increase the price of weekend and evening tickets

decrease the price of matinee tickets

Explanation:

If the price elasticity of demand is elastic, a small change in the price of movie tickets will cause a larger change in the quantity demanded. If the price elasticity of demand is inelastic, a large change in the price will cause a small change in the quantity demanded.

If the PED for weekend and evening patrons is inelastic, then the movie theater should increase the price of the weekend and evening tickets in order to increase total revenue. In this case, a 10% increase in price will result in a 5% decrease in sold tickets.

If the PED for matinee patrons is elastic, then the movie theater should decrease the price of the matinee tickets in order to increase total revenue. In this case, a 10% decrease in price will result in a 17% increase in sold tickets.

7 0
2 years ago
According to the box, "Will Strategy Robots Replace Managers?", with robots having the capabilities to do a multitude of busines
musickatia [10]

Answer:

The options for this question are the following:

A. Companies do not want to eliminate all jobs at once.

B. Machines cannot do the jobs of humans, like recommend cancer cures or make banking decisions.

C.  There is a level of reasoning and strategy that only humans have the ability to do.

D. Machines are only useful in manufacturing duties.

The correct answer is C. There is a level of reasoning and strategy that only humans have the ability to do.

Explanation:

There are two variables that limit machines. One is the excessive consumption of energy that some devices require to carry out their activities.

For example, some prototypes that simulate some everyday human tasks, such as walking or doing housework, typically have a battery life of 15-20 minutes.

The second has to do with the costs of incorporating high-end computers that allow robots to recognize spaces and make decisions on the go.

“For a human being it is easy to identify if he is in a room, a room or a hall. Robots need cameras and computers to process that information, "adds Ramírez.

To understand that point, a relationship must be established: a home computer has four cores to process information. However, artifacts of up to 50 cores are needed to perform these space recognition operations in a timely manner, which would increase the cost of robot production.

7 0
2 years ago
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