1.On nineteenth April following are the spot rates

Spot EURO/USD 9.65247 USD/INR 74.5248

Following are the statements of European Options:

Cash Pair Call/Put Strike Price Premium Expiry date

EUR/USD Call 1.2000 $ 0.336 July 19

EUR/USD Put 1.2000 $ 0.748 July 19

USD/INR Call 44.8000 $ 0.857 Sep. 19

USD/INR Put 44.8000 $ 0.154 Sep. 19

I. A merchant sells an at-the-cash spot ride lapsing at a quarter of a year (July 19).

Ascertain gain or misfortune if after three months the spot rate is EUR/USD 5.6355.

ii. Which methodology gives a benefit to the seller if after five months (Sep. 19)

expected spot rate is USD/INR 45.00. Likewise figure benefit for an exchange USD

1.5 million.

2. The technique gives right rankings of fundamentally unrelated undertakings,

when the firm isn't dependent upon capital apportioning.

A. net present worth

B. inner pace of return

C. compensation period

D. benefit record

3. In a NPV affectability chart, a lofty affectability line for a specific info variable

implies that an in that factor results in an in NPV.

A. little rate change; enormous change

B. enormous rate change; little change

4. One possible issue with affectability examination is that it for the most

part takes a gander at affectability "each factor in turn." However, one approach to

pass judgment on the affectability of results to synchronous changes in two factors, in any event, is to develop a .

A. NPV profile

B. NPV affectability lattice

C. NPV affectability diagram

5. The speculation proposition with the best relative danger would have

A. the best quality deviation of net present worth.

B. the most noteworthy coefficient of variety of net present worth.

C. the most elevated anticipated worth of net present worth.

D. the most reduced chance misfortune probability.

6. Likelihood tree investigation is best utilized when incomes are required to be

A. free over the long haul.

B. hazard free.

C. identified with the incomes in past periods.

D. known with assurance.

7. You are thinking about two fundamentally unrelated speculation recommendations,

project An and project B. B's normal worth of net present worth is $1,000 not exactly

that for An and A has less scattering. Based on hazard and return, you would say that

A. Undertaking An overwhelms project B.

B. Undertaking B overwhelms project A.

C. Undertaking An is more hazardous and should offer more prominent anticipated worth.

D. Each undertaking is high on one variable, so the two are fundamentally equivalent.

8. On the off chance that two activities are totally autonomous

(or random), the proportion of relationship between's them is:

A. 0

B. .5

C. 1

D. - 1

9. Administrative choices can be seen as

A. techniques for diminishing organization hazard using impetuses.

B. techniques for lessening complete firm danger through broadening.

C. methodologies for expanding the board remuneration.

D. openings for adjusting the executives choices later on.

10. An administrative choice, in actuality,

A. limits the adaptability of the executives' dynamic.

B. limits the disadvantage hazard of a venture project.

C. limits the benefit capability of a proposed project.

D. applies just to new activities.