Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. does a corporation on whose stock an option is wri

Does a corporation on whose stock an option is written receive any funds from the transaction? Can...

60.1K

Verified Solution

Question

Finance

Does a corporation on whose stock an option is written receiveany funds from the transaction?

Can option holders vote for corporate directors?

What is the objective of a hedge portfolio in the BinomialOption Pricing Model?

Answer & Explanation Solved by verified expert
3.9 Ratings (482 Votes)
Option is just the like betting between two people on the price of the stock where one person expects the price will go up and other person thinks the prices will go down The winner in the betting gains Option is just secondry market game there is no involvement of company in option transaction    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Transcribed Image Text

Does a corporation on whose stock an option is written receiveany funds from the transaction?Can option holders vote for corporate directors?What is the objective of a hedge portfolio in the BinomialOption Pricing Model?

Other questions asked by students

Q

3. Box A contains 6 red balls and 3 green balls, whereas box B contains 3...

Statistics
Q

9.) As mentioned below, you are required to design your own procedure for determining the heat...

Chemistry
Q

Trace (either draw a picture or write words and arrows) the path of sound from the...

Medical Sciences
Q

Simplify to a minimum SOP each stating the key properties used 1) f=xyz’+xyz 2) g=x’y’z’+x’y’z+x’yz+xy’z+xyz 3) f=abc’+ab’c+a’bc+abc 4) f=(a+b’+c)(a+b’+c’)(a’+b+c)(a’+b’+c) 5) g=(x’+y’+z’)(x’+y+z’)(x’+y+z) Find...

Electrical Engineering
Q

Q9. Explain your agreement or disagreement with the following statement: “Cyclical decoration should be restricted to...

Civil Engineering
Q

The following data is representative of that reported in an article on nitrogen emissions, with x...

Basic Math
Q

Physicians at a clinic gave what they thought were drugs to 860 patients Although the...

Statistics
Q

For 6 11 fand g are defined for all real 6 f g x 8...

Algebra
Q

find a business that is for sale in your industry and preferably, is similar to...

Accounting
Q

The following items are reported on a company's balance sheet: Determine the (a) current ratio...

Accounting
Q

When properties transferred by a shareholder in a Section 351 transaction have a net built-in...

Accounting
Q

Financial statements prepared for a parent entity and all its subsidiaries are referred to as:...

Accounting