The current price of a stock is $50. In 1 year, the price will be either $65 or $35. The annual risk- free rate is 5%. Find the price of a call option on the stock that has an exercise price of $55 and that expires in 1 year. (Hint: Use daily compounding.)

answer: just subtact the units and then add the non negative : happy to

step-by-step explanation:

y = 5x + 17

step-by-step explanation:

a perpendicular line will be the opposite reciprocal slope of the given equation.   the slope given is -1/5 so the opposite reciprocal is 5

find b:

7 = 5 (-2) + b

7 = -10 + b

17 = b

write equation

y = 5x + 17

18 units²

step-by-step explanation:

first let's find altitude bd using the distance formula

d = √((y₂ - y₁)² + (x₂ - x₁)²)

bd = √((0 - -3)² + (0 - 3)²)

bd = √18

given the placement of points a and c, we can denote that point d bisects segment ac.

we will call ac the base.

using the distance formula

ac = √((0 - 6)² + (-6 - 0)²)

ac = √72

knowing our base and our height, we can plug these into our triangle area formula

area = (b * h)/2

area = (√18 * √72) / 2

area = (√1296) / 2

area = 36 / 2

area = 18 units²