Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. a call option on 100 shares of generous dynamics s

A call option on 100 shares of Generous Dynamics stock has an exercise price $130.0...

90.2K

Verified Solution

Question

Finance

image
A call option on 100 shares of Generous Dynamics stock has an exercise price $130.0 per share. GD declares a stock dividend of 200 percent. What happens to the exercise price and the number of shares underlying the option? O Number of shares increases to 120.0 and the exercise price is reduced to 104.0 Number of shares increases to 120.0 and the exercise price remains the same Number of shares increases to 120.0 and the exercise price is reduced to 108.33 O Nothing happens

Answer & Explanation Solved by verified expert
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: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

(please type the answers) (accounting 640)Explain what you have learned about business, making decisions,processes,...(please...

Accounting
Q

You are offered a chance to buy an asset for $8,000 that is expected to produce...

Finance
Q

Carsen Sorensen, controller of Thayn Company, just received the following data associated with production of a...

Accounting
Q

a) What is the role of studies of other organisms in understanding the organization and development...

Biology
Q

Question: Consider the relation R on A defined by aRb iff 1mod4 = bmod4 a)Construct the diagraph...

Advance Math
Q

In 2018, the Westgate Construction Company entered into a contract to construct a road for Santa...

Accounting
Q

When you do a Bradford Assay and create a standard curve of absorbance at 595...

Biology
Q

If no solution write DNE log 8x 4 logg 9x 4 C

Basic Math
Q

Use the standard normal table to find the z-score that corresponds to the given percentile....

Basic Math
Q

8 lb of chicken plus 1 lb for each guest Express the relationship between the...

Algebra
Q

nd the quadratic 1 5 1 3 2 3 hose graph passe

Algebra
Q

Capital expenditures differ from ordinary expenditures, in that capital expenditures: A. Reflect the payment of...

Accounting