Suppose you had inside information on Covid-19 and was bearish on the market and decided to sell one Dow Futures E-Mini contract when the futures price was where it is at point A = 29,000. The margin requirement is $5,390 and the multiplier is 5. If you close at point B your rate of return would be over 800% Answer T for true and F for false. Dow Mini Dec. 2020 30,000 A = 29,000 29,000 28,000 27,508 27,000 MW C = 26,000 26,000 25,000 24,000 wait to that 23,000 22,000 B = 21,000 21,000 20,000 19,000 18,000 Dec '19 Jan 20 Feb 20 Mar '20 Apr 20 May 20 Jun 20 Jul 20 Aug 20 Sep 20 Oct20 So you are chatting with a friend who is in econ 351. You are bragging about all the money you made with your short position on the market (from point A to B) and he/she suggests that you buy insurance to protect your gains...... that is, he/she suggests that you hedge your short position. Note that futures options, both calls and puts are available on this futures contract.

Suppose that we hedge our existing short position by buying one FO call at point B with a strike price of 21,000 for $5,000 ($5,000 is the price of the FO call). We now consider the move from point B to point C, where the futures price of the Dow Futures E-Mini goes from 21,000 (point B) to 26,000 (point C). We assume 26,000 is the futures price at expiration. Your total profit given your short bet and your hedge is . Please, no $ signs and no commas - so if the profit is $30,000 please type in 30000, not $30,000, not 30,000. Thanks and please take care here. Please use the graph below to answer the following questions. + ? D B 21,000 A Futures price @expiration 26,000 29,000 BE point

The breakeven point for the futures options call is . Please, no $ signs and no commas - so if the BE point is 23,000 please type in 23000, not 23,000. Thanks and please take care here. The profit associated with point B is Please, no $ signs and no commas so if the profit is $30,000 please type in 30000, not $30,000, not 30,000. Thanks and please take care here. The profit associated with point C is Please, no $ signs and no commas so if the profit is $30,000 please type in 30000, not $30,000, not 30,000. Thanks and please take care here. The profit associated with point D is Please, no $ signs and no commas so if the profit is $30,000 please type in 30000, not $30,000, not 30,000. Thanks and please take care here. When the Dow mini fell to 21,000, your friend from econ 351 told you to hedge by buying a futures option call with a strike price of 21,000. Another hedge would have been to write a futures option put with a strike price of 21,000. The premiums on either the call or put are $5,000 each. Consider the graphic below.

+ A Futures Price @ Expiration 21,000 E The futures price at expiration at point E is . Please, no $ signs and no commas so if the futures price at expiration is 23,000 please type in 23000, not 23,000. Thanks and please take care here.

Question 4 (2 points) The ultimate goal of the incorporation process is issuance of a _.., a basic document of incorporation filed in the appropriate public office. deed of trust corporate veil doctrine of ultra vires corporate charter memorandom of associationQuestion 15 (1 point) v' Saved A promoter that enters into pre-incorporation contracts is personally liable unless the corporation assumes liability via contract after incorporation Question 16 (1 point) ~/ Saved Sue is negotiating a contract to become CEO of June, Inc. Sue wants to know if there is any protection she should negotiate to protect her personal assets. Which of the below will NOT protect Sue with reference to personal liability as a CEO? 0 Exculpatory clause 6) Business Judgment Rule O D & 0 Insurance O Piercing the Corporate Veil Question 17 (1 point) v' Saved Shareholder must approve any fundamental changes affecting the corporation. Practice Question Enter your answer to each question in the space provided. Click on the button marked "Check Answer" to see if you are correct. Siamese Fighting Fish (Betta splendens) normally have short, rounded tails. Hobbyists have developed a variant that has a long, drooping "veil" tail. When pure breeding round-tailed fish are bred with pure breeding veil-tailed fish the progeny all have veil tails. When F1 progeny from such a cross were self-crossed, the F2 generation consisted of 63 veil-tailed fish and 25 round-tailed fish. Which phenotype is dominant? Veil tail Check Answer What percentage of the F1 progeny are expected to be heterozygous? % Check Answer What percentage of the F2 round-tailed progeny are expected to be heterozygous? % Check Answer What percentage of the F2 veil-tailed progeny are expected to be heterozyg %% Check AnswerASSIGNMENT QUESTION PURPOSE The purpose of this assignment is to enhance learners' ability to explain the types of companies and exceptions of corporate veil. Learners are also expected to be able to discuss the duties of directors of a company. REQUIREMENT Explain the types of companies and the exceptions of corporate veil. Discuss the duties of the directors of a company. Give your View on the exceptions ol' corporate veil and duties of the directors. [Totah 60 marks]