Question: Q10. Refer to the equation we discussed for computing the FCF (free cash flow.) A decrease in the net working capital, holding other variables constant,

Q10. Refer to the equation we discussed for computing the FCF

Q10. Refer to the equation we discussed for computing the FCF (free cash flow.) A decrease in the net working capital, holding other variables constant, will a. Decrease the FCF b. Increase the FCF c. Increase the net Income d. Both b and c Q11. You are buying 5 contracts of a call option with an exercise (strike price) of $100. You pay $10 premium per share. You exercise this option after three months when the stock price reaches at $130. The annualized rate of return in this trade is: a. 10% b. 100% C. 400% d. None of the above. My answer is

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