Two-State Option Pricing Model Ken is interested in buying a European call option written on Southeastern Airlines, Inc., a non-dividend-paying common stock, with a strike price of $90 and one year until expiration. Currently, the company's stock sells for $89 per share. Ken knows that, in one year, the company's stock will be trading at either $110 per share or $75 per share. Ken is able to borrow and lend at the risk-free EAR of 4.5 percent a. What should the call option sell for today? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. What is the delta of the option? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) c. How much would Ken have to borrow to create a synthetic call? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) d. How much does the synthetic call option cost? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) a. Call option price b. Delta of the option c. Amount to borrow d. Call option price
Answers
a. The call option should sell for $9.57 for the current day
b. The delta of the option would be approximately 0.55.
c. The amount to be borrow is $90.
d. The synthetic call option would cost an amount of $179.
a. To determine the call option price, we need to calculate the present value of the option's expected payoff at expiration under each possible stock price scenario.
If the stock price is $110 at the time of expiration:
The option's payoff = Max(110 - 90, 0) = $20
The present value of the payoff = $20 / (1 + 0.045) = $19.14
If the stock price is $75 at the time of expiration:
The option's payoff = Max(75 - 90, 0) = $0
The present value of the payoff = $0 / (1 + 0.045) = $0
To find the call option price today, we calculate the weighted average of the present values based on the probabilities of each stock price scenario:
Probability of $110 stock price = 0.5
Probability of $75 stock price = 0.5
Call option price = (0.5 * $19.14) + (0.5 * $0) = $9.57
Therefore, the call option should sell for $9.57 today.
b. The delta of an option represents the sensitivity of the option price for all the changes in the underlying stock price. In this case, the delta can be calculated as the change in the call option price divided by the change in the stock price.
Change in the call option price = $19.14 - $0 = $19.14
Change in the stock price = $110 - $75 = $35
Delta of the option = Change in the call option price / Change in the stock price = $19.14 / $35 ≈ 0.55
Therefore, the delta of the option would be approximately 0.55.
c. To create a synthetic call option, Ken needs to borrow an amount that is equal to the strike price and buy a share of the stock. The amount to be borrow is $90.
d. The cost of the synthetic call option is the sum of the borrowed amount and the stock price. Given that the stock price is currently $89, the cost of the synthetic call option is $90 + $89 = $179.
Therefore, the synthetic call option would cost an amount of $179.
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Related Questions
5. Today’s workplaces are often diverse and require cooperative teamwork to be successful. Identify a specific situation/scenario that would require someone to cooperate to accomplish team goals with a diverse population and the physically challenged in a business setting.
Answers
A successful team performs as a single organism. Members not only collaborate to achieve a common objective, but they also strengthen and support one another, making their job appear natural.
When the Brazilian national team was at its peak, contrast that soccer team of 6-year-olds and their individual goals. All of his comrades' actions and future plans appeared to be known to everyone.
The team's kicks seemed to be guided by some enigmatic power because passes were always successful when they were attempted. Their "magic" was undoubtedly the result of countless hours of practice, but it was also the product of a common drive for success and a shared vision of just that fluid, automatic play that made all other teams look clunky.
Consequently, teamwork differs from a shared goal in that it has a shared vision as well as a shared stake in success. A motivating factor is a desire for achievement.
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Assume that a local restaurant sells two items, salads and steaks. The restaurant’s only two customers on a particular day are Mr. Carnivore and Ms. Leafygreens. Mr. Carnivore is willing to pay $20 for a steak and $7 for a salad. Ms. Leafygreens is willing to pay only $8 for a steak, but is willing to pay $12 for a salad. Assume that the restaurant can provide each of these items at zero marginal cost.
How much additional profit can the restaurant earn by switching to the use of a tying strategy to price salads and steaks rather than pricing these goods separately?
a. $20
b. $12
c. $7
d.$6
Answers
Answer:
d.$6
Explanation:
$6 profit can the restaurant earn by switching to the use of a tying strategy to price salads and steaks rather than pricing these goods separately
What are the goods?The term Goods are products and resources that satisfy people's needs and wants. A good can be a natural science object, a provided service, or some accumulation of the two. Just about anything is good if it supplies some kind of benefit to consumers.
Using the technique of tying, products are packaged so that the price of the tied (combined) good is more in line with the buyer's overall willingness to pay for the two things.
There are four different types of goods in economics, which can be classified based on excludability and rivalrousness: private goods, public goods, common resources, and club goods.
Therefore, option (D) is correct.
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What is meant by the term payback period? How is the payback period determined? How can the payback method be useful?
Answers
The term "payback time" refers to the amount of years needed to recoup the initial monetary outlay.
What is Payback period?
The term "payback time" refers to the amount of years needed to recoup the initial monetary outlay. It is, in other words, the length of time that a machine, facility, or other investment has generated enough net income to pay its investment costs.
In capital planning, the term "payback period" describes the amount of time needed to recover investment costs or to break even. The payback period would be two years, for instance, if an investment of $1,000 was made at the beginning of year one and returned $500 at the end of year one and year two, respectively.
The payback period is calculated by counting the number of years it takes to recoup the money invested, disregarding the time value of money. The payback period, for instance, is five years if it takes five years to recoup the cost of an investment.
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Prompt
Preparing to get a job isn't easy, but it isn't necessarily hard either. This process is about you developing as a person, and
noticing the things you've learned, overcome, and accomplished, even as a young adult. One crucial aspect is the interview.
Many times you're being interviewed informally, and people are trying to size up how you handle stress and difficult
situations
Describe one of your strengths and one of your weaknesses, and then tell a story that can help you show both your strength
and your weakness in a positive light. For example: One weakness I have is that when I get into a project I can completely
forget about everything else in life. I work almost too hard, some people say, but I just get consumed with performing and
creating solutions. So I have to remind myself to also focus on my own needs, and I've had to learn to invest in myself. One
way I did that was to get a gym membership, which helps me build a better, healthier lifestyle for myself.
I WILL CASH AP YOU IF YOU ANSWER THIS CORRECTLY✨✨✨✨
Answers
Ex. I am currently a self-employed entrepreneur running my own business full time. I am still very young, but living my dreams since graduating college. It requires commitment, leadership, etc.
My weaknesses: Taking on more than I can handle
Ex. Working hard too the point I feel overwhelmed or things out of order (unbalanced). I need to make things less stressful as an entrepreneur.
Do the Math The general ledger for Reese Delivery Service contains the following account balances:
Cash in Bank $ 8,000
Supplies $200
Delivery Equipment ?
Ed Reese, Capital $16,200
Delivery Income ?
Using the following clues, determine the balances of the Delivery Equipment account and the Delivery Income account:
Total debits equal $24,200.
The balance of the Delivery Income account is one-half the balance of the Delivery Equipment account.
Answers
In the general ledger for Reese Delivery Service contains the following account balances: Delivery Equipment is $16000 and Delivery Income is $8000.
What do you mean by the Delivery Income?The teams, systems, and procedures in charge of receiving payments from your clients and converting them into income for your company make up your revenue delivery infrastructure.
The act of transmitting a good, money, security, cash, or other item that is the subject of a contract is referred to as "delivery" in the financial markets.
Here,
Total assets = $24,200.
Calculation of delivery equipment and income:
Total Assets = cash in bank + supplies + delivery equipment
$24200 = $8000 + 200 + delivery equipment
$24200 = $8200 + delivery equipment
Delivery Equipment = $24200 − $8200
Delivery Equipment = $16000
Delivery Income = 1/2 × $16000
Delivery Income = $8000
Therefore, in the general ledger for Reese Delivery Service contains the following account balances: Delivery Equipment is $16000 and Delivery Income is $8000.
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What does indigenous technology mean?
Answers
Answer: I hope this is helpful mark brainlist if right then no if wrong
Explanation:
Indigenous technology is used by the native inhabitants of a country or region and it constitutes an important part of its cultural heritage. Characteristically, indigenous technologies: Are recognized as animate, imbued with the breath of life and they live in form and function.Technologies employed by the native inhabitants of a country and which constitute an important part of its cultural heritage and should therefore be protected against exploitation by industrialized countries; the problem of indigenous knowledge has been discussed during the Rio Conference but it does not receive much ...Types of indigenous technology in India are; (i) Generic Drugs. (ii) Thorium based Nuclear Reactors. (iii) Plastic RoadsIndigenous Technology is created within a sensory environment that builds on our sense of relationship, meaning, balance, feeling, memory and place as well as sight, sound, smell, taste and touchIndigenization is the process by which Indigenous ways of knowing, being, doing and relating are incorporated into educational, organizational, cultural and social structures of the institution.One example of Indigenous Technologies in action today can be witnessed in differential approaches to medicine. Medical technologies in the Western Scientific sense of the term might conjure images of biomedical research labs, electromagnetic monitors or imaging systems such as CT or MRI scans.Indigenous technology is used by the native inhabitants of a country or region and it constitutes an important part of its cultural heritage. Characteristically, indigenous technologies: Are recognized as animate, imbued with the breath of life and they live in form and function.
Design for manufacturing (DFM) methods facilitate integration between engineering and manufacturing and bring issues of manufacturability into the design process as early as possible. Question 8 options: True False
Answers
the statement that DFM methods facilitate integration between engineering and manufacturing and bring issues of manufacturability into the design process as early as possible is true. The statement is True.
Design for Manufacturing (DFM) is a set of design practices and guidelines that aim to improve the efficiency and quality of the manufacturing process by considering the needs of manufacturing during the design phase. DFM methods facilitate integration between engineering and manufacturing by bringing issues of manufacturability into the design process as early as possible. By doing so, potential issues can be identified and resolved before the product reaches the manufacturing phase, saving time and money while improving the quality of the end product. Therefore, the statement that DFM methods facilitate integration between engineering and manufacturing and bring issues of manufacturability into the design process as early as possible is true.
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On January 1, Year 1, Purl Corp. purchased as a long-term investment $500,000 face amount of Shaw, Inc.’s 8% bonds for $456,200. The bonds were purchased to yield 10% interest. The bonds mature on January 1, Year 6, and pay interest annually on January 1. Purl uses the effective interest method of amortization. What amount (rounded to nearest $100) should Purl report on its December 31, Year 2, balance sheet for these held-to-maturity bonds?
Answers
Answer:
Investment in bonds $468,000
Explanation:
In this case, the journal entry to record the purchase of the bonds should be:
January 1, Year 1, bonds purchased as long term investment
Dr Investment in bonds 456,200
Cr Cash 456,200
In the balance sheet it would be reported as an asset: Investment in bonds $456,200
amortization of bond discount for first coupon = ($456,200 x 10%) - ($500,000 x 8%) = $45,620 - $40,000 = $5,620
journal entry to record first coupon payment:
January 1, Year 2, first coupon payment collected
Dr Cash 40,000
Dr Investment in bonds 5,620
Cr Interest revenue 45,620
So the investment in bonds account now has a $461,820 balance
amortization of bond discount for second coupon = ($461,820 x 10%) - ($500,000 x 8%) = $46,182 - $40,000 = $6,182
journal entry to record second coupon payment:
January 1, Year 3, second coupon payment collected
Dr Cash 40,000
Dr Investment in bonds 6,182
Cr Interest revenue 46,182
So the investment in bonds account now has a $468,002 balance
Since we are told to report the December 31, Year 2, balance, the accrued interest journal entry should be:
Dr Interest receivable 40,000
Dr Investment in bonds 6,182
Cr Interest revenue 46,182
The account balance is the same though, $468,002 rounded down to $468,000
Flextrola, Inc. , an electronics systems integrator, is planning to sell its next generation product using components sourced from its supplier. Flextrola will integrate the component with some software and then sell it to consumers. Given the short life cycles of such products and the long lead times quoted by its supplier, Flextrola only has one opportunity to place an order prior to the beginning of its "selling season. " Assume that Flextrola’s demand during the season is normally distributed with a mean of 1000 and a standard deviation of 600. (A normal table is provided at the end of this exam for your convenience. )
Solectrics’ production cost for the component is $52 per unit and it plans to sell the component for $72 per unit to Flextrola. Flextrola incurs essentially no cost associated with the software integration and handling of each unit. Flextrola sells these units to consumers for $121 each. Flextrola can sell unsold inventory at the end of the season in a secondary electronics market for $50 each. The existing contract specifies that once Flextrola places the order, no changes are allowed to it. Also, Solectrics does not accept any returns of unsold inventory, so Flextrola must dispose of excess inventory in the secondary market.
Required:
a. What is the probability that Flextrola’s demand will be within 25 percent of its forecast?
b. What is the probability that Flextrola’s demand will be more than 40 percent greater than its forecast?
c. Under this contract, how many units should Flextrola order to maximize its expected profit?
d. What are Flextrola’s expected sales?
e. How many units of inventory can Flextrola expect to sell in the secondary electronics market?
Answers
With a mean of 1000 and a standard deviation of 600, the probability that the demand is going to be withing 25 percent of its forecast is 0.3230.
a. Mean = 1000
sd = 600
p(1000x 1-25%) - p(1000x 1+25%)
using the z test
d-μ/σ
\(p(z < \frac{1250-1000}{600} )-p(z < \frac{-1000}{600} )\\\\(z < 0.4167)-(z < -0.4167)\)
find values using excel sheet formula
NORMSDIST(0.4167) - NORMSDIST(-0.4167)
=m0.6615 - 0.3385
= 0.3230
b. The probability that the forecast would be more than 40 percent1000x 1+40%
= p(D>1400)
= 1- NormDist(0.667)
= 0.225
c. Cu = 121-72 = 49
Co = 72.50 = 22
The critical ratio calculation
49/22 +49 = 0.6901
Normsinv(0.6901) = 0.496
1000+0.496x600
= 1297
The units that Flextrola has to order is 1297.
d. The expected sales of Flextrola1200-1000/600
= 0.3333
loss function from z = 0.333 is 0.254
600x0.254 = 152. 4
1000-152.4 = 847.6
the expected sales are 847.6
e 1200- 847.6
= 352. 4
The units of inventory that can be sold is 352.4
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What types of procedures in schools could benefit from TQM? If students are regularly late for classes, how can the school use TQM tools to help solve the problem?
Answers
SO THE ANSWER FOR THE TWM IS
393
Your store sales average $162,000 per month. Your triple net lease has the following monthly terms: rent is 3% of sales, insurance is $210, maintenance is $100, utilities total $425, and taxes are $90. You expect next year's sales to increase 7%, but your lease terms will remain the same. Calculate next year's ANNUAL lease payment. Round your answer to the nearest dollar.
Answers
Answer:
=$72, 302
Explanation:
The tenant agrees to pay all real estate taxes, building insurance, and maintenance (the three "nets") plus the normal monthly rent in a triple net lease agreement.
Rent is 3% of sales. Sales will grow by 7%.
Current sales are equivalent to 100%; increased sales will be 100% + 7% = 107%
This year's monthly sales are 162,000: next year's monthly sales will be 107% of $162,000
=107/100 x $162,000
=1.07 x $162,000
=$173,340
Monthly sales will be $173,340. Monthly rent is 3% of sales
=3/100 x $173,340
=$5,200.2
The monthly lease will be monthly rent, plus insurance plus maintenance plus, utilities total plus taxes
= $5,200.2 + $210 + $100 + $425 + $90.
=$6,025.2
monthly lease = $6,025.2
Annual lease =$6,025.2 x 12
=$72,302.40
=$72, 302
Answer: 72,302
Explanation:
explain the process of backward planning to create a career pathway?
Answers
1. personal assessment
2. employment market analysis
3. application process
4. interview process
5. employment acceptance
6. career development and advancement
Hope this helps!
Privately owned media companies in the united states earn most of their revenue from:.
Answers
Answer:
advertising
Explanation: Mark me brainliest!!
Media companies are the group that enabled broadcasting for knowledge, entertainment, and another purpose. The major source of revenue for media companies is advertisements.
What is revenue?The revenue can be described as the actual amount earned by a business by performing its regular business operations. It can be in the form of fixed income or fluctuating income.
The media companies invested in the gathering of the information and the processing for the development of the broadcasting content.
The major revenue source gained by the private media companies was developed from advertising.
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A couple is required by their lender to have a down payment of 20% of the purchase price of the home they want to buy. If the couple has saved $35,000, what is the most expensive home the couple can afford to buy? a. $63,000 b. $140,000 c. $175,000 d. $210,000 Please select the best answer from the choices provided A B C D.
Answers
The most expensive home the couple can afford to buy a home is $175,000 having a down payment of 20%.
The computation of the total amount of expenses for homeGiven,
The percentage of the down payment from the complete amount of purchase is 20%.
The total amount of saving by the couple is $35,000.
For calculating the maximum amount for buying the most expensive home the total amount of saving is assumed to be equal to the percentage of down payment.
Thus, if $35,000 is equal to 20% of the total amount then what will be the total amount?
This is computed as follows:
\(\begin{aligned}\text{Amount}&=\dfrac{\text{Total Savings}}{\text{\% of Down Payment}}\times100\\&=\dfrac{\$35,000}{20}\times100\\&=\$175,000\end{aligned}\)
Therefore, the maximum amount that can be afforded by the couple to buy the most expensive home is $175,000.
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Answer:
Answer is C $175,000 i believe could be wrong
Explanation:
Choose all that apply. The mortgage payment includes _____. taxes principal interest escrow PMI homeowner’s insurance
Answers
Answer:
taxes, principal interest, homeowner´s insurance.
Explanation:
Mortgage payments include four parts called PITI, Principal, which is the normal payment of the loan, or the payment needed that is debited to the loan, then the taxes, the interests, and the homeowners insurance, this 4 elements make up for the main monthly payments.
The mortgage payment includes taxes, principal interest, and homeowner’s insurance. The correct options are a, b, and d.
Taxes, principal interest, as well as homeowner's insurance are a few of the items included in the mortgage payment.
1. Taxes: A portion of the mortgage payment is towards property taxes, which typically go to the local government. Schools, roads, and essential services are just a few of the public services that are supported by these levies. 2. Principal and interest: The principal borrowed and the interest accrued by the lender are both paid back with a portion of your mortgage payment. The initial sum of money borrowed to buy the house is known as the principal, and the cost of borrowing the funds is known as the interest.
3. Homeowner's insurance: This sort of insurance shields you and your possessions against harm or loss brought on by calamities like fire, theft, or natural catastrophes. Your monthly mortgage payment includes a percentage for this insurance.
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which of the following statements is true? government purchases is the largest component of gdp. net exports are equal to exports plus imports. u.s. imports refer to the physical quantity of foreign-produced goods that are purchased by residents of the united states. government purchases includes the spending on goods and services by all levels of government (federal, state, and local). c and d
Answers
It is true that government purchases encompass the money spent on products and services by all tiers of government (federal, state, and local), and that imports relate to the actual quantity of foreign-produced items purchased by Americans. Option 3, 4 are Correct.
The amount spent by the three tiers of government in the United States—federal, state, and local—amounts to around 20% of GDP. Government purchases of goods or services generated in the economy are the only portion of spending that is included in GDP.
Consumption (C) (C) Consumption is the total amount of products and services that citizens have purchased, such as retail goods or rent, and it increases as more is consumed. It makes up the greatest portion of GDP. Option 3, 4 are Correct.
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Correct Question:
which of the following statements is true?
1. government purchases is the largest component of gdp.
2. net exports are equal to exports plus imports.
3. u.s. imports refer to the physical quantity of foreign-produced goods that are purchased by residents of the united states.
4. government purchases includes the spending on goods and services by all levels of government (federal, state, and local).
What expertise and characteristics should directors have or possess in companies like Spar and Shoprite? Explain THREE each
Answers
Expertise and characteristics that directors in companies like Spar and Shoprite should possess include knowledge of retail industry trends, financial acumen, and strong leadership skills.
What expertise and characteristics should directors have or possess?Directors in companies like Spar and Shoprite play a crucial role in guiding the strategic direction of the organization, ensuring that it remains competitive and profitable in a constantly evolving retail landscape.
To do this effectively, they must possess a deep understanding of the industry, including emerging trends in consumer behavior, technology, and logistics. They must also have strong financial acumen, as they are responsible for overseeing the company's financial performance and making decisions that will drive growth and profitability.
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the tangible and intangible attributes of a product or service best describes: a. segmentation b. instrument c. channel d. brand
Answers
d. brand. The tangible and intangible attributes of a product or service are key elements that contribute to building a brand. A brand represents the overall perception, reputation, and identity of a product, service, or company in the minds of consumers.
Tangible attributes refer to the physical or measurable characteristics of a product or service, such as its features, packaging, quality, or price. These attributes can be easily observed and evaluated by consumers.
Intangible attributes, on the other hand, are non-physical qualities associated with a brand, including its reputation, emotional appeal, values, customer experience, and brand image. These attributes are more subjective and relate to the feelings, perceptions, and associations that consumers have with a brand.
Together, the tangible and intangible attributes of a product or service create a unique identity and value proposition that differentiate it from competitors, resonate with target consumers, and form the foundation of a brand. Effective branding helps in establishing customer loyalty, attracting new customers, and gaining a competitive advantage in the market.
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An investment in labor helps a business increase productivity by:
Answers
An investment in labor helps a business increase productivity by bringing in more people to make a product.
What is an investment?It should be noted that an investment simply means a process or action that's used to generate revenue.
In this case, an investment in labor helps a business increase productivity by bringing in more people to make a product.
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a supplier telling the buyer that many customers have benefited a great deal from its vendor managed inventory (vmi) services is what type of influence tactic?
Answers
The supplier's statement is an example of the social proof influence tactic, where they are using the success of other customers who have benefited from their VMI services to persuade the buyer to also utilize their services.
This tactic relies on the principle that people are more likely to make a decision if they see others doing the same thing. The emphasis on the benefits of VMI services, specifically regarding inventory management, highlights the value that the supplier can offer to the buyer and their consumers .
A supplier telling the buyer that many customers have benefited a great deal from its vendor managed inventory (VMI) services is an example of the "social proof" influence tactic. This tactic highlights the success and satisfaction of other customers to persuade the buyer to consider using the same service.
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Select the correct answer from each drop-down menu. Kevin is a store manager and has employees from diverse cultures reporting to him. He has often seen Marcos having arguments with his colleagues, Kwa Lee and Gaurav. What can Kevin do to ensure that there is team spirit and effective communication amongst all? Kevin can first be aware of his own attitude to diversity . He can also assess Marcos and him to change his behavior toward his other colleagues. He can also think of putting them together into similar departments to encourage .
Answers
Kevin leads in an autocratic manner since he just cares about his work. He seldom ever notices his subordinates. He doesn't even compensate the workers for their efforts.
Autocratic or authoritarian behavior as a leadership style.
An authoritarian leader consolidates his own personal control over both decision-making and authority. Without speaking to the workforce, he gives directions and assigns endeavors and liabilities. The pioneer assumes all authority and responsibility.
Negative leadership that relies on threats and punishment is autocratic.
Subordinates go about as he coordinates. He neither really focuses on their perspectives nor licenses them to impact the choice. He accepts that due to his position he alone can conclude what is best in a given circumstance.
Close oversight, unambiguous guidance, and directing requests from the majority are the foundations of autocratic leadership. It functions with quick decisions, brief activity, and heading unity. A lower level of appointment is required. Nevertheless, an excess of purpose of power could result in strikes and current debates. It makes sense to instill dissatisfaction and impede the growth of the employee limit.
Kevin leads in an autocratic manner since he just cares about his work. He seldom ever notices his subordinates. He doesn't even compensate the workers for their efforts. Individual control over all choices and little participation from the group are traits of his behavior. He frequently disregards advice and makes decisions based solely on his opinions and judgments.
These sorts of choice include the utilization of power gave on the singular taking the choice by the association's design. Hierarchical decisions are those decisions taken simply in light of a legitimate concern for the association. Directors are given the authority by the firm to settle on decisions in light of a legitimate concern for the association. Notwithstanding, this authority doesn't concede them the ability to pursue individual decisions. It should likewise be perceived that while hierarchical decisions can be assigned, individual decisions can't be appointed.
To explain further the concession among individual and hierarchical choice, let us think about the accompanying model. James Harrison was terminated by the supervisor since he didn't submit to the principles of the organization. This would be an authoritative choice. In any case, assuming James Harrison was terminated essentially on the grounds that the director loathed him for not a great explanation connected with the organization then that would be an individual choice. An authoritative choice is customized yet an individual choice is non-modified.
Functional:
Typically, judgments related to everyday activities are made functionally. These kinds of tailored choices are, by definition, meant to help the organization achieve short-term objectives. Chiefs at lower and middle levels typically make these decisions. Functional decisions must be made within the framework of the organization's established practices. As a result, those that must accept functional option are allowed to exercise their very own constrained utilization caution and drive.
Simple functional decisions, such regularly procuring writing materials and other natural resources, are designed to have an impact on a certain area or division of the company. As we can see, making such a decision will only affect the buying department.
Strategic Decisions:
It is implied that decisions involving important but one-time issues qualify as critical decisions. These decisions are made using a variety of administrative skills, wisdom, and experience. Not at all like functional choices, important decisions worry the firm's drawn-out points. When making a crucial decision, the person or group making it must carefully consider how the company association and its current situation are related. Important judgments are less secure in nature since the climate is constantly changing. Another reverence among important and practical choices is that crucial judgments are made by senior management.
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Answer: The Answer is diversity, Counsel, and Interactions.
Explanation:
This is correct, I just took the test. :)
The last step of a cost analysis is to examine the P&L statement or expense reports.
Answers
The last step in the accounting cycle is to make remaining entries by finalizing expenses, revenues and brief accounts on the quit of the accounting period. This includes closing out temporary bills, along with expenses and sales, and moving the net earnings to permanent bills like retained profits.
Income and loss (P&L) declaration refers to a financial statement that summarizes the sales, fees, and fees incurred at some stage in a specified length, usually a quarter or fiscal year. these records offer records about a company’s capacity or inability to generate profit by increasing sales, lowering expenses, or each. P&L statements are often presented on a cash or accrual foundation. company managers and traders use P&L statements to analyze the economic health of a company. A profit and loss (P&L) statement summarizes the revenues, fees and fees incurred all through a selected time frame. A P&L statement offers information about whether or not a company can generate profit by increasing revenue, decreasing expenses, or each. The final step within the accounting cycle is to make closing entries with the aid of finalizing costs, sales and brief bills at the stop of the accounting length. This includes remaining out brief money owed, such as fees and revenue, and moving the net earnings to everlasting debts like retained earnings.
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How responsible should sport/event organizations, celebrities, and athletes be for keeping their various publics happy? We know that good publicity boosts goodwill and profits. But, should individuals have to keep their personal beliefs private so they won’t offend anyone? For example, some musicians may highlight their political views on stage at their concerts. Or, an athlete may make comments in an interview that could offend certain groups. Perhaps he’s an avid hunter, a hobby that some animal rights activists would certainly not support. What do you think? Where should celebrities and athletes draw the line between building fan support and being true to themselves?
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Answer:
I dont really know
Explanation:
Audra Smith, President and owner of All-Pro Real Estate Professionals is seeking your assistance in designing a database for her business. One of her employees has experience in developing and implementing Accessbased systems but has no experience in conceptual or logical data modeling. So, at this point Audra only wants you to develop a conceptual data model for her system. You are to use the entity-data diagramming notation with Crows foot symbols. Audra has some very specific needs for her system. There are several aspects of the business that need to be represented in the data model. Of central interest are properties that are listed or sold by the company. Note that a separate division of All-Pro handles raw land, so your system only has to deal with developed property. For all types of properties, Audra wants to keep track of the owner (client), the listing and selling dates, the asking and selling prices, the address of the property, the Multiple Listing Service (MLS) number, and any general comments. In addition, the database should store the client that purchases a property. There are some specialized data that need to be stored, depending on the type of property. For single family houses she wants to store the area (for example UCF or Conway), the size of the house in square feet, the number of bedrooms and baths, the size of the garage (for example, 2 car), and the number of stories. For condominiums, the database should track the name of the complex, the unit number, the size in square feet, the number of bedrooms and baths, and the type of community (coop or condo). For commercial properties, she needs to know the zoning, size in square feet, type (industrial, retail, or office), and the general condition of the property. You will want to use the Supertype/Subtype notation for Property to Property-Type (Single-Family, Condo, Commercial). Audra also wants the database to store information about her real estate agents, such as their name, home address, home phone number, mobile phone number, email address, and their real estate license number. Also, the database should track which agent lists and sells each piece of property. Note that she has a separate system that tracks selling agents and listings from outside brokerages, so you don't have to worry about external agents. However, sometimes a property will be listed and sold by the same All-Pro agent, but other times one All-Pro agent will list a property, and another will sell it. Of course, Audra thinks that it would be good to have the database track information about All-Pro's clients, such as their name, phone number, and street and email addresses. Also, she wants to be able to record comments about the client. AllPro offers referral fees to clients who refer potential customers to the brokerage. The database should store these referral relationships between clients, including the amount and date of the referral payment. Note that only one client can be paid for a referral. In other words, it is not possible for two clients to be paid for referring the same client. Finally, Audra wants to be able to use the database to examine the effectiveness of various advertising outlets. For each outlet, the database should store the name of the outlet (for example, realestate.com or the Orlando Sentinel), the main contact person and their phone number. She also wants to know how much it cost to advertise each property on any outlet used, and when a property was advertised on each outlet used for that property. Keep in mind that a property may be advertised on multiple outlets, and that the cost of advertising on an outlet might vary from property to property. Create an entity relationship diagram that captures Audra's database requirements. The ERD should indicate all entities, attributes, and relationships (including maximum and minimum cardinalities). Also, be sure to indicate primary key attributes. You must draw the ERD using computer software such as Visio, Draw.IO, etc. In addition, you must resolve all M: N (many-to-many) relationships and multi-valued attributes. State any assumptions you make. Remember that your assumptions must be reasonable and must not violate any stated requirements. Think through the entities, and attributes for each entity. Hint: You will have around 7 entities (maybe more).
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The conceptual data model is created to fulfill the requirements of All-Pro Real Estate Professionals. Audra Smith is seeking help from the designer to develop the database model.
There are multiple aspects of the business, but the central interest is the properties that are listed or sold by the company. A separate division of All-Pro handles raw land; thus, the system only has to deal with developed property. The database will also store information about real estate agents, their names, home addresses, home phone numbers, mobile phone numbers, email addresses, and real estate license numbers.
All-Pro's clients' information will be recorded, such as their names, phone numbers, street, and email addresses. The database should be able to keep track of referral fees and referral relationships between clients. The advertising outlets' effectiveness will be examined, and for each outlet, the database will store the name of the outlet, the main contact person and their phone number, how much it cost to advertise each property on any outlet used, and when a property was advertised on each outlet used for that property. The ERD should capture all entities, attributes, and relationships, including maximum and minimum cardinalities, and indicate primary key attributes.
The following assumptions were made while creating the entity-relationship diagram for All-Pro Real Estate Professionals:
Each real estate agent has only one license number.Clients can be individuals or legal entities.All referral relationships are between clients.Only one client can be paid for a referral.The maximum number of bedrooms for single-family homes is eight.The maximum number of stories for single-family homes is four. The maximum number of bedrooms for a condo is eight.The maximum number of stories for a condo is three.Learn more about primary key attributes: https://brainly.com/question/32896108
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What are the benefits of instant communication and sales for consumers? choose three answers.
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Companies can ship goods to customers in an instant.
Businesses can be available for customers 24 hours a day.
Customers can purchase goods and services online. Customers can give feedback to producers instantly.
What is one way that technology can improve the production of goods?Websites can allow consumers to purchase goods online.
Container ships can transport a number of goods at once. Automation can create goods more cheaply and easily.
What is the impact of technology on business?Information technology has enabled businesses to attain a greater reach.
Now more than ever, it's easier for companies to do business across the world. Emails, text, instant messaging, websites and applications have made global communication quicker and more effective than ever.
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https://brainly.com/question/6664691#SPJ4As people have more time to adjust to a price change,
a. both supply and demand become less elastic.
b. demand becomes less elastic, and supply becomes more elastic.
c. demand becomes more elastic, and supply becomes less elastic.
d. both supply and demand become more elastic.
e. elasticity of both demand and supply tends toward unity.
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Option d. both supply and demand become more elastic. As people have more time to adjust to a price change, both supply and demand become more elastic.
Over time, consumers and producers can find alternatives to the product or service in question, making them more responsive to changes in price. In other words, as time passes, there are more options available to consumers and producers, which makes them more sensitive to changes in the price of a product or service. This increased sensitivity leads to a greater degree of elasticity in both supply and demand. Therefore, option d is the correct answer.
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One difficulty in using voluntary transactions to internalize externalities is that: _____________
a. the government usually will not enforce contracts of this type.
b. people are motivated by self-interest and are often unwilling to engage in a transaction that might make another person better off.
c. transaction costs of coming to an agreement can be very large when numerous people are involved.
d. people usually don't understand what the real opportunity costs are that they face.
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Answer:
jesus
Explanation:
lol
Jaron's Internet is not functioning. A person from which pathway would best aid Jaron in fixing the issues with his
Internet?
O a person in broadcasting
O a person in performing arts
a person in telecommunications
O a person in printing technology
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Answer:
a person in telecommunications
Explanation:
Since in the question it is mentioned that Internet of Jaron is not working so here the pathway that should be considered best and aid to fixing the issues with the internet if the person who is in telecommunication as the internet would be classify as the telecommunication part
Therefore the third option is correct
Answer:
Its C
Explanation:
I got a 100%
Warner Company’s year-end unadjusted trial balance shows accounts receivable of $116,000, allowance for doubtful accounts of $770 (credit), and sales of $450,000. Uncollectibles are estimated to be 1% of sales. Prepare the December 31 year-end adjusting entry for uncollectibles
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On December 31, Warner Company must make an adjusting entry to account for uncollectibles.
Prepare the December 31 year-end adjusting entry for uncollectibles?Debit Allowance for Doubtful Accounts for $4,500Credit Accounts Receivable for $4,500On December 31, Warner Company must make an adjusting entry to account for uncollectibles.Uncollectibles are estimated to be 1% of sales, or $4,500 ($450,000 x 0.01). The adjusting entry would be to debit Uncollectible Accounts Expense for $4,500 and credit Allowance for Doubtful Accounts for $4,500.This will increase Uncollectible Accounts Expense and reduce Allowance for Doubtful Accounts, thus decreasing Accounts Receivable by the same amount.After making this adjusting entry, the Accounts Receivable balance would be $111,500 ($116,000 - $4,500), the Allowance for Doubtful Accounts balance would be $4,270 ($770 + $4,500), and the Uncollectible Accounts Expense balance would be $4,500.To learn more about Debit Allowance for Doubtful Accounts refer to:
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Four ways in which schools could promote entrepreneurship as a viable option to counteract unemployment
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Answer:
Entrepreneurship is an important alternative to counteract unemployment. It not only gives provides employment to the entrepreneur but also provides jobs to others as well.
Explanation:
Entrepreneurship may be defined as the setting up of a business or a work looking out for making profit dealing with the risks and the challenges on its own.
Four ways in which the school can promote entrepreneurship as a viable option to counteract unemployment are :
build awareness and promote entrepreneurship among the students.Provide the benefits of being an entrepreneur and showing them the possibilities of setting up a business that can even provide jobs to others.Providing with valuable ideas and guidance regarding setting up a business and giving an overview of the current market trends and market study.Helping the students reach out to other entrepreneurs and also providing ways to get any financial aid to set up a business.Four Ways through which Schools can promote Entrepreneurship include the following
Creation of entrepreneurship centres to provide consulting to non-profits and small businesses.Awareness creation through seminars and lectures on the importance of entrepreneurship as an alternative to paid employment. Host entrepreneurship contests where incentives are given.Inviting influential and professional entrepreneurs to give lectures.What is Entrepreneurship ?Entrepreneurship is defined as the process of starting up a business, and taking up the responsibility of financial risk with the hope of making profit.
Entrepreneurship is a potent means of reducing unemployment to the lowest minimum.
Entrepreneurship brings about creativity and as such value is created which leads to more wealth.
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