Given the principle of demand and supply ceteris paribus, what it it's basic implication on the prices of commodities?
Background: please start by building an n=10-period binomial model for the short-rate, ri,j. The lattice parameters are: r0,0 = 5% u=1.1, d=0.9 and q = 1- q = 1/2.
Compute the price of an American call option on the same ZCB of the previous three questions. The option has expiration t = 6
t=6 and strike = 80.
Background: please start by building an n=10-period binomial model for the short-rate, ri,j. The lattice parameters are: r0,0 = 5% u=1.1, d=0.9 and q = 1- q = 1/2.
Compute the initial price of a futures contract on the same ZCB of the previous two questions. The futures contract has an expiration of t = 4
Background: please start by building an n=10-period binomial model for the short-rate, ri,j. The lattice parameters are: r0,0 = 5% u=1.1, d=0.9 and q = 1- q = 1/2.
Compute the price of a forward contract on the same ZCB of the previous question where the forward contract matures at time t=4.
Background: please start by building an n=10-period binomial model for the short-rate, ri,j. The lattice parameters are: r0,0 = 5% u=1.1, d=0.9 and q = 1- q = 1/2.
Compute the price of a forward contract on the same ZCB of the previous question where the forward contract matures at time t=4.
Background: please start by building an n=10-period binomial model for the short-rate, ri,j. The lattice parameters are: r0,0 = 5% u=1.1, d=0.9 and q = 1- q = 1/2.
Compute the price of a forward contract on the same ZCB of the previous question where the forward contract matures at time t=4.
If a consumer is consuming two commodity X and Y and his utility function U(X,Y)=2xy+6.if the price of the two commodity are 2 and 6 respectively, and consumer has a total income of 80 birr to be spent on the two goods,a)find the utility maximizing Quantity of good X and Y (b) find the MRSxy at equilibrium (c) find the MRSyx at equilibrium
Background: please start by building an n=10-period binomial model for the short-rate, ri,j. The lattice parameters are: r0,0 = 5% u=1.1, d=0.9 and q = 1- q = 1/2.
Compute the price of a zero-coupon bond (ZCB) that matures at time t = 10
t=10 and that has a face value of 100.
Submission Guideline: Give your answer rounded to 2 decimal places. For example, if you compute the answer to be 73.2367%, submit 73.24.
Find the elasticity of sustitution for the production function Q=√LK
Basically there are three approaches to measure gdp/gnp,list and briefly explain each approach