Answer the following statement(s) true (T) or false (F)

A negative correlation indicates that variables change in opposite directions.


ANS:T

Business

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Bailment involves the transfer of the possession of property with the intent thereby

to transfer its ownership. Indicate whether the statement is true or false

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The gross profit percentage is the ratio to watch if you are worried about increased competition. If the company lowers its prices to retain market share without lowering its cost of goods sold, its gross profit percentage will:

A. increase. B. stay the same. C. decrease. D. equal zero.

Business

What is the probability that the project can be completed within nine hours?

A project consists of five activities. Naturally, the paint mixing precedes the painting activities. Also, both ceiling painting and floor sanding must be done prior to floor buffing.

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The spot price of the market index is $900. The annual rate of interest on treasuries is 4.8% (0.4% per month). After 3 months the market index is priced at $920. An investor has a long call option on the index at a strike price of $930

What profit or loss will the writer of the call option earn if the option premium is $2.00? A) $2.00 gain B) $2.00 loss C) $2.02 gain D) $2.02 loss

Business