Please help with following mcq

question one

Your uncle attended a derivative course and has some homework questions. He telephones you for help. The question is: \"Someone owning shares in A Limited is the seller of 1 million put options with a strike price of H50 and an option premium of R5. Who are they and why would they be doing this?" Complete the missing word(s): This person is a (market participants) with a position in the share who believes that the market price will in which case they will make a O A. Hedger. covered, decrease, R45 million loss 0 B. Hedger, naked, not decrease, R5 million loss 0 C. Speculator, covered, not decrease, R5 million profit O D. Speculator, naked, decrease, R45 million profit Telkom-StayH... LTE @ 11:08 42% A vula.uct.ac.za vula Show Time Remaining A Question 17 of 27 3 Points The credit manager decides to change the credit policy in an attempt to improve cash flow in the business. She provides you with the following comparative financial information of the existing (2020) and proposed (2021) new working capital policies: NEW Working Capital OLD Working Capital Policy Policy 2021 2020 Increase (Change) in gross R1 000 000 profit Settlement discounts R660 000 R320 000 Bad debts R1 100 000 R800 000 Opportunity costs: ? ? Existing debtors Increase sales Existing and New Debtors Collection Period The firm currently allows an average debtors collection period of 50 days and will extend the debtor collection period to 65 days in 2021 under the new policy. The new policy will result in an increase of R4m in annual credit sales in 2021 and no effect on cash sales. The current annual sales are R80m of which 50% is on credit. The firm's cost of capital is 15 %. Rounding up to the nearest Rand, the opportunity cost for existing debtors and increase in credit sales for 2021 is as follows: O A. Existing debtors Increase sales -R246 575 R24 658 O B. Existing debtors Increase sales -R246 575 R80 137 O C. Existing debtors Increase sales R246 575 R80 137 O D. Existing debtors Increase sales -R246 575 -R106 849 25Thando is a wealthy client of your firm needing some help calculating returns. Able Limited has an expected market return of 13.4%. The current share price is 3320 cents per share and a dividend of 45 cents was received during the year. The R196 issued by National Treasury is trading at a yield of 8.5% and the market risk premium is 3.5%. The market rate of return has increased by 1%. The new expected market return of Able Limited is: O A. 15.8% 0 B. 14.8% 0 c. 13.0% 0 D. 14.4%