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Author Archives: Anonymous

By the 1700s the British refused to do what action that indi…

By the 1700s the British refused to do what action that indicated that they were inferior to the Chinese officials?

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A stock is currently priced at $73 and will move up by a fac…

A stock is currently priced at $73 and will move up by a factor of 1.26 or down by a factor of .83 over the next period. The risk-free rate of interest is 3.4 percent and the strike price is $74.(1) What is the up price (i.e., stock price in the high state, SH)? (4 pts)A. $85.95B. $91.98C. $74.00D. $57.67(2) What is the down price (i.e., stock price in the low state, SL)? (4 pts)A. $60.59B. $52.78C. $73.83D. $85.95(3) What is the value of the call option in up price (i.e., call option price in the high state, CH)? (4 pts)A. $0B. $8.25C. $17.98D. $1.98(4) What is the value of the call option in down price (i.e., call option price in the low state, CL)? (4 pts)A. $17.98B. $1.00C. $0D. $8.05(5) What is the delta (i.e., the number of shares of the stock)? (4 pts)A. 0.128B. 0.573C. 0.740D. 0.985(6) What is the B (i.e., the number of dollars in the risk-free asset)? (4 pts)A. −8.25B. 0C. −33.56D. −57.30(7) What is the price of the call option today (i.e., C₀)? (4 pts)A. $3.40B. $4.70C. $8.25D. $12.50(8) What is the risk-neutral probability (i.e., π)? (4 pts)A. 0.20B. 0.36C. 0.474D. 0.62(9) What is the option price today C₀ using the risk neutral probabilities approach? (4 pts)A. $4.83B. $8.25C. $17.98D. $6.90(10) Does the two valuation methods (i.e., Replicating (Hedge) portfolios and risk-neutral probabilities) give you the same call option price? (4 pts)A. Yes, they always produce the same option price.B. No, they only match when volatility is high.C. No, the replicating method gives a higher value.D. No, the risk-neutral method gives a lower value.

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Provide a simple explanation about how the Dynastic Cycle wo…

Provide a simple explanation about how the Dynastic Cycle worked when changing dynasties in ancient China. (4 points)

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The method of farming found in mountainous regions is called

The method of farming found in mountainous regions is called

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Describe the culture of ancient China.  Write about any of t…

Describe the culture of ancient China.  Write about any of the following ideas: What were the social classes?  How were families organized? What were important ideas, philosophies, or concepts found during this time in regards to family life? Try to give me 4-5 facts.  (4 points)

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The Opium War was fought between China and what Western nati…

The Opium War was fought between China and what Western nation?

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A cooperative outcome in a situation where one nation pegs t…

A cooperative outcome in a situation where one nation pegs to another would be that the:

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When a nation chooses to fix or float, it should consider:

When a nation chooses to fix or float, it should consider:

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Reunification of East and West Germany created which sequenc…

Reunification of East and West Germany created which sequence of events?

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Suppose the MPC is 0.8 in Canada and the MPCh is 0.55. If in…

Suppose the MPC is 0.8 in Canada and the MPCh is 0.55. If income increases by $200 million in Canada, then the increase in consumption of foreign goods will be:

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