Suppose that the value of the S&P 500 stock index is 4,800. Required: a. If each E-mini futures contract (with a contract multiplier of $50) costs $29 to trade with a discount broker, how much is the transaction cost per dollar of stock controlled by the futures contract? Note: Do not round your intermediate calculations. Round your answer to 5 decimal places. b. If the average price of a share on the NYSE is about $59, how much is the transaction cost per "typical share" controlled by one futures contract? Note: Do not round your intermediate calculations. Round your answer to 5 decimal places. c. For small investors, a typical transaction cost (including the bid-ask spread) for direct trades in stocks might be about 9 cents per share. How many times the transactions costs in futures markets is this? Note: Do not round your intermediate calculations. Round your answer to 2 decimal places. Answer is complete but not entirely correct. a. Transaction cost per dollar b. Transaction cost per share c. Number of times $ 0.12000 % 0.00708 0.08 X

The margin requirement on the S&P 500 futures contract is 16%, and the stock index is currently 2,100. Each contract has a multiplier of $50 a. How much margin must be put up for each contract sold? Margin b. If the futures price falls by 1% to 2,079, what will happen to the margin account of an investor who holds one contract? (Input the amount as a positive value.) Margin account by c-1. What will be the investor's percentage return based on the amount put up as margin? (Negative value should be indicated by a minus sign. Round your answer to 2 decimal places.) Percentage return ed ok at rices c-2. What would be the current cash balance in the margin account? Cash balance

H3. Show proper step by step calculation

In a financial market a stock is traded with a current price of 50. Next period the priceof the stock can either go up with 30 per cent or go down with 25 per cent. Risk-freedebt is available with an interest rate of 8 per cent. Also traded are European optionson the stock with an exercise price of 45 and a time to maturity of 1, i.e. they maturenext period.i) Find prices of Arrow-Debreu securities.

Suppose you buy one SPX call option contract with a strike of 2200. At maturity, the S&P 500 index is at 2218. What is your net gain or loss if the premium you paid was $14? (Input the amount as a positive value.)

Suppose that the value of the S&P 500 stock index is 2,000.a. If each E-mini futures contract (with a contract multiplier of $50) costs $25 to trade with a discount broker, how much is the transaction cost per dollar of stock controlled by the futures contract?b. If the average price of a share on the NYSE is about $40, how much is the transaction cost per “typical share” controlled by one futures contract?c. For small investors, a typical transaction cost per share in stocks directly is about 10 cents per share. How many times the transactions costs in futures markets is this?

F2 please help....

3 You are given the following information on some company's stock, as well as the risk- free asset. Use it to calculate the price of the call option written on that stock, as well as the price of the put option. (HINT: You should use the Black-Scholes formula!) (Do not round intermediate calculations and round your final answers to 2 decimal places, e.g., 32.16.) Today's stock - $77 price = Exercise price = $75 Risk-free rate = Option maturity = 5 months Standard deviation of annual stock returns Call price Put price $ $ 3.4% per year, compounded continuously = 59% per year 3.61 x 0.56 X 1

Suppose that on 27 October 2022, Wall Street Journal in New York presents the following price for 27 March 2023 call options on Microsoft stock (in $ USA) strike 75 80 85 price 11 7.96 5.5 while the annual interest rate is 4% per year. On this date (27 October 2022) the Microsoft stock was trading at $81.625. Suppose we decide that the volatility of the market is 30%. Should you buy the call option as the European one with strike price $80? Justify your answer.

Suppose the 6-month Mini S&P 500 futures price is 1,345.99, while the cash price is 1,335.81. What is the implied difference between the risk-free interest rate and the dividend yield on the S&P 500? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Implied difference %