The following are monthly percentage price changes Month DJIA S&P 500 Nasdaq 1 0.02 0.03 0.05 0.07 0.07 0.2 -0.02 -0.02 -0.05 0.01 0.03 0.05 0.05 0.05 0.13 -0.06 -0.04 -0.06 2 3 4 56

Study Tools ons cess Tips cess Tips pack The following graph shows the contingency graph for sellers of euro call options, with a premium of $0.02 and an exercise price of $1.48. NET PROFIT PERUNT (Delars per un 0.03 0.02 O 0.01 -001 600 -0.01 14 145 180 182 154 155 156 180 182 FUTURE SPOT RATE (Dollars per euro) ? According to the graph, if the spot rate turns out to be $1.50, and the option is exercised, the seller will According to the graph, break-even price is per unit.

Calculate Duolingo’s underpricing if the offer price equals $102 and the closing price on the first trading day equals $134.26.

Forward premium: a) The current price of a pound in Toronto is 1.2345. The 30 days price of the pound in Toronto's forward market is 1.1357. What is the annualized forward premium for Canarian dollars? b) Spot and 60 days forward dollar indirect quotes for yen are 100.2468 and 101.0305. What is the annualized dollar forward premium?

ssume that prices for the items below increased at the average annual rates shown in the table. Use the inflation proportion to find the missing price the last column of the chart Item Evening dress Price $176 The missing price in 2009 is $ Round up to the nearest dollar.) Year Purchased 2000 Price in 2009 GID Year 2000 2009 Average CPI-U 172.7 214.4

Exhibit 4.1 USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S) Year 2000 2001 2002 2003 2004 9.7800% 0.0970% 0.0978% 3.6400% % Price Change for GB Industries C 9.0700% 10.0% Refer to Exhibit 4.1. Calculate the average annual rate of change for GB Industries for the five- year period using the geometric mean. 12.0% 10.0% 11.0% 6.0%

PW vs Interest Rate 90,000 80,000 70,000 IRR = 9.41% IRR = 20.21% 60,000 %3D 50,000 IRR = 17.26% 40,000 30,000 20,000 10,000 Interest Rate, % -10,000 Do DOT SOLID -20,000 Referring to the graph, write the Decision Table telling which alternative to choose as a function of the interest rate. Present Worth, $

Calculate the final selling price to the nearest cent and markdown percent to the nearest hundredth percent: First markdown Final markdown Original selling price $5,000 Second markdown Markup 12% 20% 10% 5% Final selling price Markdown percent :%

Calculate the final selling price to the nearest cent and markdown percent to the nearest hundredth percent: Original selling price $6,500 Markup 10% Final selling price Markdown percent First markdown 35% % Second markdown 20% Final markdown 20%

Until recently, Augean Cleaning Products sold its products on terms of net 70, with an average collection period of 85 days. In an attempt to induce customers to pay more promptly, it has changed its terms to 1/10, EOM, net 70. Assume current sales of $100, costs of $90, an interest rate of 12%, and no defaults. Assume each month has 30 days and a year has 360 days. The initial effect of the changed terms is as follows: Percent of Sales with Cash Discount 70 Average Collection Periods (Days) Cash Discount 40a Net present value Net 90 Some customers deduct the cash discount even though they pay after the specified date. a. Calculate the NPV per $100 of sales based on the original terms. (Do not round intermediate calculations. Round your answer to 2 decimal places.)