This website uses cookies to ensure you have the best experience. Learn more

Law Intro Essay

412 words - 2 pages

Assignment 1:
Options, 55709 - Spring 2016
Hebrew University

• Submission Deadline: March 17, at the end of the class
• Please submit in groups of 2-3 students
• Mention clearly which question you are solving
• Keep answers concise and to the point
Problem 1 Trader A enters into a forward contract to buy gold for $1000 an ounce in one year.
Trader B buys a call option to buy gold for $1000 an ounce in one year. The cost of the option is $100
an ounce. What is the difference between the positions of the traders? Show the profit per ounce as
a function of ...view middle of the document...

Describe the investor’s position (profit and payoffs)
Problem 3 The current price of a stock is $94, and three-month call options with a strike price of
$95 currently sell for $4.70. An investor who feels that the price of the stock will increase is trying
to decide between buying 100 shares and buying 2, 000 call options (20 contracts). Both strategies
involve an investment of $9, 400. What advice would you give? How high does the stock price have
to rise for the option strategy to be more profitable?
Problem 4 On March 7, 2016, an investor owns 100 Google shares. Find the close price of that date
to determine what is the stock price. It can be find in numerous portals, for example yahoo finance.
A May put option with a strike price $690 costs $34.30. The investor is comparing two alternatives
to limit downside risk. The first involves buying one May put option contract with a strike price of
$690. The second involves instructing a broker to sell the 100 shares as soon as Googles price reaches
$690. Discuss the advantages and disadvantages of the two strategies.
Problem 5 A trader buys a European call option and sells a European put option. The options
have the same underlying asset, strike price and maturity. Describe the traders position. Under what
circumstances does the price of the call equal the price of the put?


Other assignments on Law Intro

Labor/Management Relations Essay

1654 words - 7 pages Intro Since these decisions are legal rulings and written in legal language, they are more difficult to read than news articles or a book read for entertainment. It was necessary to read several decisions before finding these three that held my interest and that I felt would hold a reader’s interest for the length of this paper. They are varied in focus and the reasons for the actions being brought to the NLRB. I chose them because they involve

Marijuana Essay

2389 words - 10 pages Destinee’ Parker Ms.Tomlinson Intro to Comp. 11 November 2013 Legalizing Marijuana Marijuana was not known to be illegal at a point in time; back in 7,000 B.C it was legal. Marijuana also known as the hemp plant had a number of uses such as; woven fabric from hemp, food, cloth, rope, and much more. A man by the name Harry J. Anslinger came along, who seeked career opportunity with the Bureau of Narcotics. He didn’t feel as if cocaine

Business Environment

4002 words - 17 pages Shell employs works together with business managers to reduce all the effects that their activities has on the environment. (Shell, 2014) d) Government Shell is a responsible member of society because they are paying their taxes to the UK government; they are following the employments law and health and safety law. 2014 is the third year when Shell is voluntarily publishing details of payments that they’ve made to government. They believe


714 words - 3 pages The first ethical issue presented in the ethics game simulation was whether to warn consumers about the contaminated product and what information to provide consumers about the contaminant. The second ethical issue was whether to sell a product that does not meet U.S. safety requirements in a foreign market that has lower safety restrictions. G-BioSport was not required to meet prior approval from the Federal Drug Administration before they

Economy Effect Of Marijuana

277 words - 2 pages Modern American History by Alan Renga 2nd Mid Term! You will be given 3 Short Essay questions and 20 Multiple Choice questions deriving from this list! 80 points total! The 1920s Warren Harding then Calvin Coolidge Tea Pot Dome 1st Red Scare Immigration Restriction, Sacco and Vanzetti Langston Hughes, Marcus Garvey, KKK Prosperity, advertising Prohibition, Al Capone Flappers, Clara Bow, Rudolph Valentino Babe Ruth, Jack Dempsey

The Vc Shakeout

2033 words - 9 pages ECONOMY 26 Luring a big firm to town is not the secret to job growth DEFEND YOUR RESEARCH 30 Are morning people wired for success? VISION STATEMENT 32 The social web’s east-west divide COLUMN 38 Warren Bennis looks back on his surprising path to fame New Thinking, Research in Progress New Thinking, Research in Progress FIRST The VC Shakeout Venture capital hasn’t worked for a decade and must be radically

Hospitals Paper

6014 words - 25 pages make a difference. So he literally went to hospitals across the nation to get support for this new organization. In 1966 he had gathered 150 prospective members to go with him to New York. The very first big stand for the new federation was when it went up against the government saying that they would not participate in Medicare the way that it was currently written. They were effective in their lobbying because the law was changed so as to fairly

Course Syllabus

2610 words - 11 pages [pic] COURSE SYLLABUS Semester: Fall, Year: 2012  College Mission Statement Richard J. Daley College provides high-quality education which leads to academic success, career development, and personal enrichment that fulfill diverse community needs. Mathematics Department Mission Statement Our mission is to deliver excellent service and to provide learning opportunities by offering a wide range of mathematics courses, which will help our


1477 words - 6 pages Boeing Management Planning Heather Oetzel MGT 330 October 22, 2012 Joe Cheng Abstract Boeing is known as “the world’s leading aerospace company and the largest manufacturer of commercial jetliner and military aircraft combined ("The Boeing Company: About Us", 2012). Every company uses different types of management techniques including how the planning function of management is used. Planning allows organizations to develop how the

Assisted Suicide

1015 words - 5 pages , and Switzerland. In the Netherlands, voluntary euthanasia has been legal since 1983, with some 3,000 people requesting it each year. In Australia, assisted suicide was legalized in the Northern Territory with the backing of a substantial majority of the local population, but was then overthrown by the Federal Senate before anyone could actually use the new law. However, in Oregon and California, state legislation has been passed to allow for

Tanglewood Case 1

797 words - 4 pages Tanglewood’s staffing strategy requires the organization to make key decisions about the acquisition, deployment, and retention of the organization’s workforce. In order to accomplish this, Tanglewood’s must make thirteen decisions regarding its staffing levels and its staffing quality. One of the first decisions that Tanglewood needs to choose is to acquire or develop talent. Tanglewood should try to develop their current talent because one

Similar Documents

War On Navey Essay

404 words - 2 pages Jonathan CasillasSerrano 10Mar13 Counseling Essay INTRO Discipline is the most useful quality. It means to act in an orderly manner. It means to act strictly according to principle. Discipline involves obedience. A disciplined man acts strictly in obedience to law or order or principle or an approved formula. USEFULLNESS Discipline has got immense usefulness for us. Discipline leads to success. If we read in a disciplined way, we can

Sarcophagi Of Selene And Endymion Essay

389 words - 2 pages time period was the knowledge of preserving the bodies of their dead. This led to Rome constructing sarcophagi and change to Roman traditions of burial. Romans, according to law were not permitted to bury their dead within two Roman miles of the city. Naturally, the rise of graveyards emerged within the countryside and the development of catacombs for the dead. Roman sarcophagi were constructed elaborately from marble and in some cases stone, wood

The Influence Of Law In Business

936 words - 4 pages The Influence of Law in Business Practice Intro to Business & Technology March 23, 2014 The Influence of Law in Business Practice There are several laws in the United States that are meant to set a standard for fair, balanced, and competitive business practices. These are, by design, a way to ensure that trade- international as well as domestic- is done in a reputable and progressive fashion. There are many aspects that come in to

Understanding The Teachings Of Islam Essay

1351 words - 6 pages deemed the group with the most influence on the practicing of the faith. There are two major branches of Islam and they are Sunni and Shii. Inside these two branches are many different teachings of theology and law. Islam is a monotheistic faith that, in spite of the different ways Islam is practiced, they are all guided by the five Pillars of Islam that are described in the Qur’an. These five pillars are: 1. Declaration of Faith 2. Prayer