If an investor strongly believes that the stock market is going to have a sharp decline shortly, he or she could maximize profit by a. short selling stock-index futures contracts. b. hedging current short positions. c. using stock-index futures to straddle the market. d. buying stock-index futures contracts.

Answers

Answer 1

The correct explanation is option (a), "short selling stock-index futures contracts".

What is short selling stock-index futures contracts?

When you buy a futures contract to "short sell," you are doing so with the intention of selling it later at a lower (ideally) price. Unlike the stock market, there is no requirement for financing.

The working of short selling stock-index future contracts is-

The concept is to obtain anything you don't already own on loan, sell it, and then return it. Even though you will now receive the funds, you still owe the money you borrowed. You eventually have to return it. You make money if you can later purchase it for a lower price.

The future contract can be shorted by-

By locking in a price through the directional hedge known as shorting the basis, any asset price changes are effectively eliminated until the futures contract expires. When shorting the basis, a long hedger prefers a narrowing in the basis.

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Related Questions

Here is selected financial statement data regarding a company's property, plant, and equipment. Balance Sheet: Dec. 31, 2018 Dec. 31, 2017 Property, plant, and equipment $ 563,000 $ 294,000 Accumulated depreciation 286,000 237,000 Income Statement: 2018 Depreciation expense $ 105,000 Gain on sale of property, plant, and equipment 26,000 During the year, PPE with a book value of $23,000 were sold. In the statement of cash flows, the investing activities section should show a cash disbursement for "purchases of property, plant, and equipment" for $ _________.

Answers

Answer:

$292,000

Explanation:

price of old equipment sold = $26,000 + $23,000 = $49,000 (cash inflow)

new equipment purchased = $563,000 - $294,000 + $23,000 = $292,000 (cash outflow)

cash flow from investing activities:

cash disbursed for purchasing new equipment = ($292,000)

cash received from sale of old equipment = $49,000

net cash flow from investing activities = ($243,000)

Theta Inc. uses normal costing and applies overhead based on direct material costs. The predetermined overhead rate for the current year is 250% of direct material costs. During the year, $3,500,000 of direct material costs and $4,000,000 of direct labor costs were incurred. Theta's applied overhead is:

a. $9,375,000.

b. $1,600,000.

c. $8,750,000.

d. $1,400,000.

Answers

Answer:

a. $9,375,000.

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Which of the following does not fall into the field of marketing?
-restaurant management
-education
-e-commerce
-professional sales

Answers

Answer:

professional sales

Explanation:

sales

What is information that CANNOT be measured and expressed in numbers? Question 1 options: Personal Information Target Market Data Qualitative data Quantitative data

Answers

Answer:

Qualitative data

Explanation:

Qualitative data is one that is used to characterise and categorise attributed of a population, as such it does not involve the use of numbers.

For example sex, state of origin, citizenship, name, and so on.

On the other hand the other options can be expressed as numbers. That is Personal Information, Target Market Data, and Quantitative data.

Basically qualitative data is descriptive rather than quantitative

What is the biggest business in the world right now and why.

Answers

Answer:

Apple

Explanation:

It is worth the most money. It is worth 2 trillion dollars.

Answer:

anime

Explanation:

an anime? jus cu.z i luv anime

review of the nigerian economy​

Answers

Answer:

amazing

Explanation:


Nigeria's economic freedom score is 57.2, making its economy the 116th freest in the 2020 Index. Its overall score has decreased by 0.1 point, reflecting a decline in the fiscal health score.

Which research tool is best suited to gathering qualitative market data?

A. Census statistics
B. In-depth interviews
C. Business records
D. Surveys

Answers

In-depth interviews is best suited to gathering qualitative market data.

What is market data?

Every business's success has been largely attributed to its use of market research techniques. Knowing the ins and outs of your target market is more important than ever in a world where competition seems to be endless.

Companies that benchmark can see 69% quicker growth and 45% higher productivity than those that don't, according to a PwC study.

Organizations have been able to learn not only some of the largest industry revelations, but also the smallest facts that most people miss, thanks to market research. Market research is crucial because it enables businesses to interpret information and make defensible judgments.

Therefore,  In-depth interviews is best suited to gathering qualitative market data.

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Answer:in-depth interviews

Explanation:

I just Took the quiz.

On 3/1/X1 Landlord Co. received a $36,000 cash payment from Renter Co. to pay for a total of 17 months, starting in the current month. How much revenue should Landlord Co. recognize in the year ending 12/31/X1? Round your answer to the nearest penny.

Answers

Answer: $21177

Explanation:

First and foremost, we should note that since the revenue that Landlord Co. wants to recognize in the year ending 12/31/X1 will be for a period of 10 months that is, from 1st of March to 31st of December.

Therefore, the revenue that Landlord Co. should recognize in the year ending 12/31/X1 will be:

= $36000 × 10/17

= $21176.471

= $21177

Your office is hosting a big meeting with some of its international
clients. During the meeting, one of the clients asks numerous,
very detailed questions. She also wants to see your risk
management plan. Which of these countries is she probably
from?
O Mexico
O United States
O Germany
O Ireland

Answers

Untied states or Mexico

Which of the following explains how revenue is determined?

A. The total amount of money brought in by sales.

B. Gross domestic product is calculated.

C. Costs are subtracted from revenues.

D. The maximum level of benefits is figured.​

Edit: Its not C

Answers

Answer:

A. The total amount of money brought in by sales.

Understanding the legal ramifications what types of policies should organizations implement when using social media tools for recruitment

Answers

Answer:

Social media is a vital tool for online recruitment in the large MNCs now-a-days.

Explanation:

In the recent, there is a trend of recruiting the new professionals through various online platforms and other social media tools.

With social media many legal consideration comes into account. The organizations while handling social media tools for recruitment has to look on various important points while posting their advertisement and collecting the data of the candidates online. There are severe legal ramifications on using social media in a wrong way, so organization have to be ethical while using them.

Firstly, they should respect the privacy of the social media communities.Professionalism and rules of ethics should be applied.They should respect the copyright laws.

Besides individuals, who else pays taxes in our country?

Answers

Answer:

Aliens?

Explanation:

Which of the following tips can help you avoid electrical
shock from a computer? (Select three answers.)
Unplug the computer before performing maintenance.
| Keep liquids away from the computer.
Open up the computer while it is turned on to see
what's wrong.
D Use only the keyboard and not the mouse when
performing maintenance.
Make sure the computer doesn't have worn out wiring.
Wash the inside of the computer with water to keep it clean.

Answers

Answers:


1) Unplug the computer before preforming maintenance.

2) Keep liquids away from computer.

3) Make sure the computer doesn’t have a worn out wiring.


I hope this helped :)

most stock exchanges today use electronic trading

Answers

True

(Not sure what was the question about but I’m guessing it’s a true/false?)

hope this helps :)

"tractor is a modern tool of agriculture".justify this statement with suitable example​

Answers

Answer:

Tractors are the king among different farm equipment. They are the main workhorse of any modern farm. They provide the power and traction necessary to mechanize agricultural tasks. ... There are different types of tractors in the market, varying in size and capacity.

Explanation:

Critical reading is a
a Theory
b. Process
C. Summarization strategy
d. None of these
Please select the best answer from the choices provided
A
В
C
D

Answers

Answer:C

Explanation:

Answer:

The correct answer for this question is B

I
In which book of original entry would you enter the following?
(a) Sales invoice

(b) Debit note-

(c) Cash sale-

(d) Purchase invoice-

(e) Credit note-​

Answers

Try e I THINK ITS E :D

why would you put money into a saving account

Answers

Answer:

You'd put money into a bank account to save it

Explanation:

you'd want to save it so you don't spend it yet.

Hope this helps! :)

3. Why are people who are unemployed but not looking for work not included in
the unemployment figures? (Hint: think of teenagers)
Need help due TODAY

Answers

Answer:

Because they don't keep track on it.

Explanation:

Basically they are just included in it because they don't keep track of it. Hope that helps!

Could you please explain what the benefits for having a checking account are, especially for minors?

Answers

Answer:

establish credit earn interest recieve deposits

Explanation:

Click this link to view O*NET's Tasks section for Actors.
Note that common tasks are listed toward the top, and less common tasks are listed toward the bottom. According to
O*NET, what are common tasks performed by Actors? Check all that apply.
creating artwork for use in stage sets
collaborating with other actors
working closely with directors, other actors, and playwrights to find the interpretation suited to the role
studying and rehearsing roles from scripts
learning about characters in scripts and their relationships to each other
teaching college classes and training other people how to become actors

Answers

Answer: B C D E

Explanation:

Did the assignment

To find the interpretation suited to the role, studying and rehearsing roles from scripts, learning about characters in scripts and their relationships to each other and teaching college classes and training other people how to become actors are common tasks performed by Actors. Hence, options B, C, D and E are correct.

Who is a director of a movie?

The directors are the movie's creative leaders. They uphold the artistic vision throughout pre-production and final editing. They are employed by the executive producer or producer, who is ultimately in control of a production.

A film director's responsibilities include reading and editing scripts, overseeing the cast and crew, and putting the final product together. The actors and other crew members will work with you to ensure that the movie ultimately reflects the aesthetic vision for the finished result.

Thus, options B, C, D and E are correct.

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Which step in the product development process involves announcing a new
product on social media?

A. Post-launch review
B. Idea screening
C. Content development and testing
D. Commercialization and launch

Answers

Answer:

D

Explanation:

announcing the product takes place in the commercialization and launch of the product

In the product development process involves announcing a new product on social media the major step was Commercialization and launch. The correct option is (D).

What do you mean by the product development?

Product development, often known as new product management, is the process of conceptualizing, designing, developing, and selling newly produced or recently relaunched goods and services.

The entire process of creating a product, from conception through market launch, is referred to as product development.

Prior to launching your items on the market, it's critical to guarantee that there is demand, your final products are of the greatest possible quality, and that your potential clients will receive value from them.

The best products also contribute to the advancement of society, whether through the product line itself or through the creation of new jobs and sources of income.

Therefore, in the product development process involves announcing a new product on social media the major step was Commercialization and launch.

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How can the government be both a producer and a consumer in respect to its relationship with business

Answers

Answer:

they gonna tinda and be kind to the coatumets

Answer:

they are gonna tinda and be nice to the caotmautes

A weekly report for new agents at a vacation sales company is shown in the histogram. A histogram titled Vacation Packages has number of packages sold on the x-axis and number of salespersons on the y-axis. 9 sold 1 to 2 packages; 7 sold 3 to 4; 4 sold 5 to 6; 3 sold 7 to 8; 2 sold 9 to 10; 1 sold 11 to 12; 2 sold 13 to 14; 3 sold 15 to 16. How many of the new agents sold more than 10 vacation packages?

Answers

Answer:

6 salespersons

Explanation:

A histogram shows the graphical representation of the distribution of numerical data using bars of different lengths.

From the histogram:

The number of salespersons who sold 11 - 12 packages = 1

The number of salespersons who sold 13 - 14 packages = 2

The number of salespersons who sold 15 - 16 packages = 3

Therefore the new agents who sold more than 10 vacation packages = 1 + 2 + 3 = 6 salespersons

Answer:its 6

Explanation:i took the quiz and i know the answer

Burning of candle is which change?(chemical change or physical change)​

Answers

Burning a candle is a physical change
Hope that helped

Answer:

physical as it is getting smaller, but I would also say chemical as it's changing into melted wax? more of a physical change for me. hope this gelps

Explain incentives and opportunity cost. Also give an example of both.

PLEASE ANWSER THIS AS A QUESTION YOU HAVE BEEN GIVING SO I CAN COPY AND PASTE PLEASE.

Answers

Answer:

Incentives are the rewards or punishments that shape people's choices. Incentives can be either monetary or non-monetary. When opportunity costs change, incentives change, and people's choices and behavior change. Changes in incentives cause people to change their behavior in predictable ways.

Explanation:

I think that is correct

The user growth rate of a social media platform decreased by 15% per month. On January 1, the platform had 20 million users. If growth decreases at 15% each month, how many will it have by year end?

Answers

Answer:

2.844835 million current users

Explanation:

20 million x .85 x .85 x .85 x .85 x .85 x .85 x .85 x .85 x .85 x .85 x .85 x .85

HELP:(
when people consider purchasing auto insurance, they must realize which of the following is true?
A. it is often too expensive for most people to buy.
B. it is a personal amenity that only a few people have.
C. it is only important for people with outdated cars.
D.it is required by law for all car owners.

Answers

The answer is B Because people will like to steal your car more then others

Under which tab can you find the options for reusing slides from other presentations?

Home
File
Insert
Design

Answers

More than likely under the design tab

Answer:

Home

Explanation:

Indicate the point where a monopoly will set its price.

Answers

Answer:

A monopoly will set its price at the point where marginal cost and marginal revenue intersects or meet (MC = MR).

Explanation:

A monopoly is a market structure which is typically characterized by a single-seller who sells a unique product in the market by dominance. Thus, it is a market structure wherein the seller has no competitor because he is solely responsible for the sale of unique products without close substitutes. Any individual that deals with the sales of unique products in a monopolistic market is generally referred to as a monopolist.

For example, a public power company that serves as the only power utility (electricity) provider to the public.

Generally, a monopoly will set its price at the point where marginal cost and marginal revenue intersects or meet (MC = MR). This is simply because a monopoly would derive the maximum profit at the point where MC = MR.

Answer:

The dot where green and red meet.

Explanation:

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At what points does the curve r(t) = t i + (4t t2) k intersect the paraboloid z = x^2 + y^2?(smaller t-value) (x, y, z) = ?(larger t-value) (x, y, z) = ? In a market-oriented economy, private firms will undertake most of the _____________________________, and ________________ should seek to avoid a long series of large budget deficits that might crowd out such investment. economic growth activities; monetary policy economic growth activities; fiscal policy investment in human capital; monetary policy investment in physical capital; fiscal policy 4. How does "Lobo, the King of Currumpaw" illustrate revenge? In the context of this story, is revenge ever justified? Cite evidence from this text, your own experience, and other literature, art, or history in your answer. A company makes rubber rafts. 12% of them develop cracks within the first month of operation. 27 new rafts are randomly sampled and tested, by being used for one month, under standardized conditions that mimic typical operating conditions. Calculate the probability that the number of tested rafts that develop cracks is no more than 3. Round your answer to four decimal places. Solve the system of equations 4x+5y=-1 and -5x-8y=10 by combining the equations. Which of the first interest groups in the united states was created after the civil war with the goal of outlawing the sale of liquor? T takes about ten minutes to drive _________ this tunnel. (a) through (b)across (c)over (d)among (e 11. Analyzing threat and hazard information enables the planning team to: Jim climbs up a rope from an initial height of 1.30 m to a final height of 3.20 m. If Jim's mass is 45 kg, what is the change in his gravitational potential energy? Group of answer choices 1980 J 187 J 85.5 J 838 J Predict the nature of the indicatedcovalent bond.HHpolarH-CH-C-HHnon-poiar The yoga path focused on meditation is :______ A. Raja. B. Karma. C. Kundalini. D. Jnana Which two radian measure angles are missing from the unit circles shown below (at positions 210 and 315)? If a DBMS enforces a DELETE CASCADE option on the referential integrity constraint between SELLER and REALTOR in the HOMETOWN REALESTATE database, what will be the outcome after a user tries to delete the third record (R3, Cliff) from REALTOR Metformin and longevity (METAL): a window of opportunity study investigating the biological effects of metformin in localised prostate cancer A school's right to search student lockers to keep things safe for the community might be a necessary thing. which is the best revision of the underlined portion of the sentence? may keep things safe for students, which makes it necessary. maintains the necessary safety of the student environment. is necessary to maintain a safe environment for students. no change During the middle of the nineteenth century, what was a factor in advances in higher education? Levi rented a movie for $3.20 and bought a package of candy for $2.55. How much money did Levi spend in total? $5.25 $5.50 $5.75 $6.00 & Read the passagethat to secure these rights governments are inated among men deriving their just powers from the consent of the governed that whenever any form of government becomes destructive of theur ends, I is the right of the people to alter er to abolish and to huthute new government, tryinges foundation on such principles and organizing is powers in such form as to there shall seem most likely to effect their safety and happinessWhat is the main idea of this passage from the Declaration of Independence?Government is formed naturally and it evolves with timePeople have the right to determine the best forms of government for themThe colonists would prefer an altered government to a new nationGovernments must sometimes be reorganized in order to avoid revolt Describe the evidence-based guidelines for safe patient handling when assisting m. T. Explain what ""no-lift"" or ""limited lift"" policy mean According to carl rogers, the ________ is how people see their actual traits and abilities.