Entries by Student

write my assignment 12937

VALUING AND AMERIAN OPTIONJ&B Drilling Company has recently acquired a lease to drill for natural gas in a remote region of southwest Louisiana and southeast Texas. The area has long been known for oil and gas production, and the company is optimistic about the prospects of the lease. The lease contract has a three-year life and allows J&B to begin exploration at any time up until the end of the three-year term. J&Bs engineers have estimated the volume of natural gas they hope to extract from the leasehold and have placed a value of $25 million on it, on the condition that explorations begin immediately. The cost of developing the property is estimated to be $23 million (regardless of when the property is developed is developed over the next three years). Bases on historical volatilities in the returns of similar investments and other relevant information, J&Bs analysts have estimated that the value of the investment opportunity will evolve over the next three years.The risk-free rate of interest is currently 5%, and the risk-neutral probability of an uptick in the value of the investment is estimated to be 46.26%.A.Evaluate the value of the leasehold as an American call option. What is the Lease worth today?

 

"Not answered?"


Get the Answer

write my assignment 7046

Welcome to the Week 5 discussion board! This week our course readings focus on symbol, allegory, and irony. As I mentioned in my lecture, I’d like you to complete a close reading of Nickole Brown’s poem “https://waccamawjournal.com/poetry/pepsi/Pepsi(Links to an external site.)” from her collection Fanny Says (2015). On a basic level, the poem is about Nickole’s grandmother’s love of Pepsi. Fanny is the name of Nickole’s grandmother. I have a few questions to get us started this week. As always, I invite you to pose any questions that arise for you.

1. What does Pepsi symbolize to Fanny? Please include textual evidence to support your answer.

2. What do we as readers learn about Fanny from her loyalty to Pepsi?

3. What is your favorite line from the poem and what is it that you like about it?

4. Do you like the poem? Why or why not?

 

"Not answered?"


Get the Answer

write my assignment 15237

Management Action Plan (MAP): Part 5

Incrementalism relies on an advanced knowledge of a need to add to a project using many small, accurate, and incremental changes instead of undertaking a few, well-planned, large jumps.  

First, you will need to decide on the sequencing of your key action steps. Start by reviewing your key action steps in Part 4.

For each key action step, ask yourself what other steps must be completed before that specific action can be taken.

Next, explain the merits of incrementalism in your MAP and possible consequences if incrementalism is not utilized.

Finally, rearrange your key action steps into a sequence of ordered activity. Then, look at your plan once again. Are there any ways to simplify the plan further before presenting it?

Address accountability. For each key action step, assign a responsible party or group within your hypothetical or actual organization (by position, department, or team name—not by individual name), and assign a suspense date by which the key action steps must be completed. Then, based on all of your key action steps and the suspense dates, provide a realistic completion date for the entire MAP.

Develop measurement and monitoring. Explain in detail how you will measure the success of your MAP following implementation and how you will monitor ongoing performance to prevent regression and loss of the positive change that

has taken place.

 

"Not answered?"


Get the Answer

write my assignment 21049

Write 6 pages with APA style on Risk Management of Airline Companies. Negative occurrences happen but their impact is minimized. Hedging techniques minimize airline risks, but in financial markets, it is not as simple as insurance, as instruments in the market are used to set off the risks of negative price tendencies.

Hedging, in technical terms, is investing in two securities with negative correlations. Of course, it comes by paying in some form or the other. We can not save ourselves from risk-return tradeoff, as hedging is not a technique of making money but a way of minimizing future losses. Mostly, hedging techniques require the usage of complicated financial instruments, known as derivatives. options and futures are the most commonly used derivatives. With these instruments, trading strategies are developed whereby a loss in one investment is compensated by profits in another.

Taking the example of Southwest Airline’s hedging techniques in mid-2005 when oil prices rose to more than $60 per barrel, giving huge profits to the company because it had entered into a contract of commodity hedging for 85% of its oil needs at the rate of $26 per barrel. Had the company not entered into commodity hedging, it would have incurred heavy losses. Southwest Airlines saved $34 per barrel and not only covered the risks involved in the scenario of $60 per barrel but solidified its market position. Other American airlines like Delta had no long term contract and in the year 2004 had to sell its supply contracts to arrange cash for paying debts. It shows how difficult it is to survive in the volatile oil market without practicing some risk minimizing techniques. Similarly, another airline – United Airlines – had filed for bankruptcy protection in December 2002 — could hedge 30% of its fuel requirements in 2005 at the cost of $45 per barrel. One can understand the compulsions behind different strategies adopted by these airlines, as their financial standings are also different.

 

"Not answered?"


Get the Answer