Q1:
You own 1000 shares of Newstar Financial? stock, currently trading for $56 per share. You are offered a deal where you can exchange these stocks for 900 shares of Amback Financial Group? stock, currently trading at $61 per share. What is the value of this? trade, if you choose to make? it?
A. -$1,100
B. -1,140
C. $1,100
D.-1,120
Q2:
Q3:
q1.A-$1100.
value of incoming shares (900*$61) | $54,900 |
less:value of outgoing shares (1000*$56) | (56,000) |
value of this trade | -1,100 |
q2.$4,830.
amount in one year = deposit amount * (1+r)^n
=>$4600*(1.05)^1
=>$4,830.
q3.A.$88,160.
future value = amount * (1+r)^n
=>$60,000*(1.08)^5
=>$60,000 * 1.4693
=>$88,160.....(rounded off to nearest dollar).
Q1: You own 1000 shares of Newstar Financial? stock, currently trading for $56 per share. You...
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