0
Add your answer:
Earn +20 pts
How do you determine whether the currency option is in the money?
"In the Money" is a term used in option trading as a determinate to if an option has "Intrinsic Value." In the Money, does NOT mean in profit. There are two components to an option value, TIME VALUE, and INTRINSIC VALUE. Time Value + Intrinsic Value = Option Premium. When the market price is above the option strike price of a CALL option, that option is considered "In the Money" i.e. having intrinsic value. When the market price is below the option strike price of a PUT option, that option is considered "In the Money" i.e. having intrinsic value.
What are the Classification of money?
Full-bodied>Full-bodied is money whose value as a commodity for non-monetary purposes is a great as its value as money.>The principal full bodied money in modern monetary system have been coins of the standard metal when a country is on a metallic standard: A gold standard , a silver standard ,or a bimetallic standard using gold and silver.Representative Full-bodied Money>Which is usually made of paper, is in effect a circulating warehouse receipt for full-bodied coins or their equivalent in bullion.>The representative full-bodied money itself has no significant value as a commodity, but it "represents in circulation an amount of metal with a commodity value equal to the value of the money.Credit Money>By credit money, or debt money, we mean any money, except representative full-bodied money, that circulates at a value greater than the commodity value of the material from which it is made. In some cases, the market value of the money materials is insignificant, as in the case of most paper money.>Credit or debt money can also result as the issuing authority buys all the money material offered to it, but at a price significantly below the monetary or face value of the money into which it is transformed.
What is the difference between fiat money and token money?
Token money is a type of money whose intrinsic worth is less than its nominal value eg its value as money is less than its value as metal while fiat money is a type of money which intrinsic value is more than its nominal value.
Do you need a down payment if the value of the home is higher than the loan?
I am a Loan Originator for a Mortgage Company and to answer your question, you must go off the purchase price in a Sale no matter the appraised value, but there are so many different loans in my market you may not have to put a down payment at all. And the seller can pay all of your closing costs. It just depends on the situation. You could walk away with no money down. Actually a mortgage company will use the lesser of the purchase price or the appraised value. Some lenders can do "hard money" loans and will lend on the "future" value as opposed to the purchase price, but expect very high rates.
Market value per share or stock price?
Market value should beTotal # of Shares outstanding X Share price
The relationship between the value of money and the price level?
There is an inverse relationship between value of money and the price level. So if the value of money is low, then the price level is high or if the value of money is high, then the price level is low.
The relationship between the value of money and the price level in an economy is?
Inverse
What will happen to the value of the dollar (against foreign currencies) if the U.S. price level doubles?
The value will decrease by 50%.
What is level price?
The price level refers to the monitary value of a good or service.
Why is inflation not considered when the basic concept that money has time value is discussed?
Inflation is not considered when the basic concept of money has time value because it is a sustained increase in the general price level of goods and services in an economy over a period of time. If the general price level rises, each unit of currency buys fewer goods and services.
How do you determine whether the currency option is in the money?
"In the Money" is a term used in option trading as a determinate to if an option has "Intrinsic Value." In the Money, does NOT mean in profit. There are two components to an option value, TIME VALUE, and INTRINSIC VALUE. Time Value + Intrinsic Value = Option Premium. When the market price is above the option strike price of a CALL option, that option is considered "In the Money" i.e. having intrinsic value. When the market price is below the option strike price of a PUT option, that option is considered "In the Money" i.e. having intrinsic value.
A time of decline in general price levels of goods and services and the value of money is stronger?
Deflation is a decline in general price levels of goods and services and a stronger value in money.
What is the value of a Miah Bradbury baseball card?
It is price less...no amount of money will value his cards
What is the difference between knowing the price and knowing the value of something?
Take a toy in a store for example. The price is the amount of money you have to pay to buy it from the store. The value is the amount of money that the object is actually worth - how much money it took to make it.
Why the value of money is inversely related to the price level?
If prices go up,a unit of money-a dollar is worth less because it will buy less, if prices go down, a dollar is worth more because it will buy more.
At a given price a surplus occurs when?
At a price that is too high a surplus will occur. This is because people value their money more than they value the marketed good.
What happens when there is an increase in price for good and services combined with a reduction in the value money?
When there is an increase in prices for good and services combined with a reduction in the value of money it is known as inflation.
