A project's Profitability Index is .85 and its investment value of $250,000. Given this information, determine its NPV.

A) $12,500
B) -$5,000
C) -$37,500
D) -$12,500

Ans: C) -$37,500

Business

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In a recent year, the median direct compensation of the CEOs, of 350 major United States Corporations was over $6 million

Indicate whether the statement is true or false

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A binomial tree prices an American option at $3.12 and the corresponding European option at $3.04 . The Black-Scholes-Merton price of the European option is $2.98 . What is the control variate price of the American option?

A. $3.06 B. $3.18 C. $2.90 D. $3.08

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