A call option on Juniper Corp. stock with an exercise price of $75 and an expiration date 1 year from now is worth $3 today. A put option on Juniper Corp. stock with an exercise price of $75 and an expiration date 1 year from now is worth $2.50 today. The risk-free rate of return is 8%, and Juniper Corp. pays no dividends. The stock should be worth __________ today.
A. $69.73
B. $71.69
C. $73.12
D. $77.25
A. $69.73
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Which of the following factors has reinforced the popularity and staying power of public relations in an economic downturn?
A) understanding and mastery of social media B) crisis communication C) a research focus D) a management orientation
If a business has a Fees Earned account with a balance of $40,000 and a Commissions Earned account with a $50,000 balance, the closing entry needed to close these accounts will require a journal entry that will:
a. debit the Income Summary account for $90,000. b. credit the Income Summary account for $90,000. c. credit the Commissions Earned account for $40,000. d. credit the Commissions Earned account for $50,000. e. credit the Income Summary account for $40,000.
Holding costs can be expressed as ______.
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A. no federal law. B. the Fair and Accurate Credit Transactions Act. C. the Fair Debt Collection Practices Act. D. the Truth-in-Lending Act.