Suppose you purchase one Texas Insurance August 75 call contract quoted at $8.50 and write one Texas Insurance August 80 call contract quoted at $6. If, at expiration, the price of a share of Texas Instruments stock is $79, your profit would be _________.
A. $150
B. $400
C. $600
D. $1,850
A. $150
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To find the most comprehensive information about a company's performance during the year, one would look to
A) interim financial statements. B) the annual report sent to the SEC. C) The Wall Street Journal. D) the annual report sent to stockholders.
Sherrie Hymes holds a $200,000 portfolio consisting of the following stocks. The portfolio's beta is 0.875. Stock Investment Beta A $50,000 0.50 B 50,000 0.80 C 50,000 1.00 D 50,000 1.20 Total $200,000 If Sherrie replaces Stock A with another stock, E, which has a beta of 1.50, what will the portfolio's new beta be?
A. 1.07 B. 1.13 C. 1.18 D. 1.24 E. 1.30
The largest area of practice, and most important, for public accountants is:
a. tax consulting b. tax preparation c. management consulting d. auditing e. record consolidation
On January 1, Year 1, Carlyle Corporation issued a 5-year term note. The note requires an annual cash payment on December 31 of each year. The payment includes a principal repayment and interest. Indicate whether each of the following statements is true or false.________ a) The entry to record issuance of the note will increase assets and liabilities.________ b) The first payment on the note will reduce liabilities and assets, but will not affect equity.________ c) The second payment on the note will include higher interest expense than did the first payment.________ d) Each payment on the note includes a cash flow from operating activities and a cash flow from financing activities.________ e) The amount of the principal repayment will increase with each succeeding payment.
What will be an ideal response?