Question: SHOW COMPUTATIONS: Problem 1: ABC Corporation agreed that it will buy 1,000 USD at an exchange rate of P52.00 one month from now. On the

SHOW COMPUTATIONS:

SHOW COMPUTATIONS: Problem 1: ABC Corporation
Problem 1: ABC Corporation agreed that it will buy 1,000 USD at an exchange rate of P52.00 one month from now. On the transaction date, the buying spot rate is P51.80 and the selling spot rate is P52.15. How much is the net gain/(loss) based on the information above? Problem 2: ABC Milling Inc. agreed to sell 2,000 tons of flour at a price of P12,000 per ton six months from now. The selling price of flour per ton on that day is P12,500. How much will ABC receive as cash from the sale of flour? Problem 3: The underlying asset of a long futures contract is 1,000 shares of Ayala Corp. Strike price is P300 per share. On the agreed date, the market value is P330 per share. How much is the gain/(loss) relating to the contract? Problem 4: ABC Corporation bought 5 short futures. The contract size is 10,000 shares of Mining Inc. The strike price is P87 per share. If the market price of a share is P91 per share on the agreed date, ABC would have a total gain/(loss) from these contracts amounting to? Problem 5: Options - Buying Stocks: ABC Corporation acquired an option to buy 5,000 shares of XYZ Corp. at a strike price of P300 on a later date. ABC paid a premium of P4,000. On the last day of the option, an XYZ Corp. stock is selling at P280 each. If ABC will be acquiring the XYZ stocks, how much should it pay

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