8.11 A stock price is currently priced at $25. In 1 year its price will either be $26 or $30. The risk-free rate is 5% per annum with continuous compounding. 1. Suppose the stock pays a continuous dividend yield of 3% per annum. Con- struct an arbitrage opportunity. either S0u or S0d with u > d. Let r be the risk-free rate. Suppose d > e an arbitrage opportunity involving one share of stock and some cash. What is the minimum guaranteed profit of this strategy

Rediger inc., a manufacturing corporation, has provided the following data for the month of june. the balance in the work in process inventory account was $28,000 at the beginning of the month and $20,000 at the end of the month. during the month, the corporation incurred direct materials cost of $56,200 and direct labor cost of $29,800. the actual manufacturing overhead cost incurred was $53,600. the manufacturing overhead cost applied to work in process was $52,200. the cost of goods manufactured for june was: