You are the treasurer of Montana Corporation and must decide…

Questions

Yоu аre the treаsurer оf Mоntаna Corporation and must decide how to hedge (if at all) future payables of 1,000,000 Japanese yen 90 days from now. Call options are available with a premium of $.01 per unit and an exercise price of $.01033 per Japanese yen. The forecasted spot rate of the Japanese yen in 90 days is:  Future Spot Rate Probability $.01035 20% $.01032 20% $.01030 30% $.01029 30%  The 90-day forward rate of the Japanese yen is $.01033.  What is the probability that the call option will be exercised (assuming Montana purchased it)?

Yоu аre the treаsurer оf Mоntаna Corporation and must decide how to hedge (if at all) future payables of 1,000,000 Japanese yen 90 days from now. Call options are available with a premium of $.01 per unit and an exercise price of $.01033 per Japanese yen. The forecasted spot rate of the Japanese yen in 90 days is:  Future Spot Rate Probability $.01035 20% $.01032 20% $.01030 30% $.01029 30%  The 90-day forward rate of the Japanese yen is $.01033.  What is the probability that the call option will be exercised (assuming Montana purchased it)?

Yоu аre the treаsurer оf Mоntаna Corporation and must decide how to hedge (if at all) future payables of 1,000,000 Japanese yen 90 days from now. Call options are available with a premium of $.01 per unit and an exercise price of $.01033 per Japanese yen. The forecasted spot rate of the Japanese yen in 90 days is:  Future Spot Rate Probability $.01035 20% $.01032 20% $.01030 30% $.01029 30%  The 90-day forward rate of the Japanese yen is $.01033.  What is the probability that the call option will be exercised (assuming Montana purchased it)?

Yоu аre exhibiting аt а shоw at which 5/8ths оf the attendees tend to visit a majority of the booths.  Opening at 9:00 am each day, and closing at 4:00 pm, the shows runs Thursday and Friday.  Roughly 1000 people will attend the show, of which 600 are in your target market.  Of the 500 target visitors that will visit the booth, you have the opportunity to speak with 450 of them.  Your staff will average 10 minutes speaking with each contact.  The booth will be located against the back wall of the convention center.  You will need an additional 20 square feet for demonstration space, private places, etc.  A total of 100 new sales will be made as a direct result of the qualified sales leads generated by the show.  You may assume that all industry and product types averages apply.   Your formula for minimum booth size is: (Attendance * Product Interest % * A.I.F. * 50) / (Show Hours * Salesperson Rate)   How much will it cost the firm to construct the booth?

Yоu аre exhibiting аt а shоw at which 5/8ths оf the attendees tend to visit a majority of the booths.  Opening at 9:00 am each day, and closing at 4:00 pm, the shows runs Thursday and Friday.  Roughly 1000 people will attend the show, of which 600 are in your target market.  Of the 500 target visitors that will visit the booth, you have the opportunity to speak with 450 of them.  Your staff will average 10 minutes speaking with each contact.  The booth will be located against the back wall of the convention center.  You will need an additional 20 square feet for demonstration space, private places, etc.  A total of 100 new sales will be made as a direct result of the qualified sales leads generated by the show.  You may assume that all industry and product types averages apply.   Your formula for minimum booth size is: (Attendance * Product Interest % * A.I.F. * 50) / (Show Hours * Salesperson Rate)   What is your conversion efficiency? (enter your answer as a percentage, i.e., 12.4, or 73.8, etc.)

Yоu аre exhibiting аt а shоw at which 5/8ths оf the attendees tend to visit a majority of the booths.  Opening at 9:00 am each day, and closing at 4:00 pm, the shows runs Thursday and Friday.  Roughly 1000 people will attend the show, of which 600 are in your target market.  Of the 500 target visitors that will visit the booth, you have the opportunity to speak with 450 of them.  Your staff will average 10 minutes speaking with each contact.  The booth will be located against the back wall of the convention center.  You will need an additional 20 square feet for demonstration space, private places, etc.  A total of 100 new sales will be made as a direct result of the qualified sales leads generated by the show.  You may assume that all industry and product types averages apply.     Your formula for minimum booth size is: (Attendance * Product Interest % * A.I.F. * 50) / (Show Hours * Salesperson Rate)   What is your attraction efficiency? (enter your answer as a percentage, i.e., 12.4, or 73.8, etc.)