a speculator purchased a call option with an exercise price of $31 for a premium of $4. the option was exercised a few days later when the stock price was $34. what was the return to the speculator?

Answers

Answer 1

When the stock price reaches $24, the speculator will break even. If the call option's payment is equal to its cost, which is 4, the speculator will break even, disregarding the time value of money.

Only when the stock price is higher than the exercise price will a call option be exercised, and if it is, the payment will be equal to the difference between the stock price and the striking price. As a result, in order to break even, the stock price must:

Return to investor = Payoff from call - Premium paid

= (34 - 31) - 4

= 3 - 4 = -$1

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Related Questions

Rather than looking for problems, ________ seeks to identify the unique qualities and special strengths of an organization, which can then be built upon to improve performance

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'Rather than looking for problems, appreciative inquiry seeks to identify the unique qualities and special strengths of an organization, which can then be built upon to improve performance.

The gratitude quest is a model aimed at engaging stakeholders in self-determined change. According to his Gervase Bushe, Professor of Leadership and Organizational Development at Beedie School

Appreciative Inquiry (AI) is about understanding what's working, analyzing why it's working, and then doing it. A change management approach that focuses on A fundamental premise of AI is that organizations grow in the direction that people in them pay attention to.

Appreciative Inquiry discovers untapped positive potential in organizations. For example, a model may focus on the functions, benefits, spirit, and value of a system. Discovering Possibilities harnesses the energy needed to enable change based on breakthroughs, discoveries and innovations.

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what is the capitalization rate for a property that produces $10,000 annual net operating income (noi) and for which an investor paid $105,263 (rounded)?

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The capitalization fee for a assets that produces $10,000 annual internet working profits (noi) and for which an investor paid $105,263 (rounded) is 9.50%.

The required details for capitalization rate in given paragraph

Capitalization fee (or "cap fee") is a actual property valuation degree used to examine different actual property investments. Although there are numerous versions, the cap fee is typically calculated because the ratio among the yearly condominium profits produced via way of means of a actual property asset to its current marketplace price. Most versions relied on the definition of the yearly condominium profits and whether or not it's miles gross or internet of annual costs, and whether or not the yearly condominium profits is the real quantity obtained (preliminary yields), or the ability condominium profits that might be obtained if the asset changed into optimally rented (ERV yield).

($10,000 (annual NOI) ÷ $105,263(buy price) = 9.5% (0.095) the capitalization fee)

The cap fee most effective acknowledges the coins go with the drift a actual property funding produces and now no longer the alternate in price of the assets.

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Trey morgan is an employee who is paid monthly. For the month of january of the current year, he earned a total of $4,540. The federal insurance contributions act (fica) tax for social security is 6. 2% of the first $137,700 earned each calendar year, and the federal insurance contributions act (fica) tax rate for medicare is 1. 45% of all earnings for both the employee and the employer. The amount of federal income tax withheld from his earnings was $680. 70. His net pay for the month is:.

Answers

The total amount of taxes withheld from the trey’s earnings is $4,192.68.

What is Federal income tax?

Federal income tax is the income tax paid to the federal government. Income tax is determined by a schedule or table. The more you earn, the more you will end up paying. Federal income tax rates remain unchanged for the 2022 tax year at 10%, 12%, 22%, 24%, 32%, 35%, and 37%. However, the income limits for each class are adjusted slightly each year for inflation. Read on to learn more about the state income tax brackets for the 2022 tax year. Payroll taxes, which fund Social Security, Medicare, and unemployment benefits, are the second largest source of federal revenue, accounting for about one-third of total annual revenue.

The net pay is, therefore:

= 4,540 - (4,540 × 6.2%) - (4,540 × 1.45%) - 680.70

= 4,540 - 281.48 - 65.83 - 680.70

= $4,192.68

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which of the following can be concluded about the united states based on the author's descriptions in the excerpt? a. regional political interests dominated political debates. b. a common national culture was developing. c. educational reforms contributed to increased literacy. d. new transportation routes made shipping books easier.

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The best choice is B. Based upon that author's words in the passage, one might infer that the United States was building a single national culture.

Do kids should watch United States of Al?

Parents should be aware because United States of Ala is a comic about an Afghan interpreter who comes to this country to the country to live only with family of an American ex-Marine who was once his friend in arms. Although it has some edge, the content is generally younger than what viewers might expect.

What city is the setting for United States of Al?

The how "United States of Al" put laughter aside to deal with the fall of Kabul is described in "There Was No Design for This" The plot was inspired by the genuine existence struggles to remove the writers' relatives from Afghanistan.

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Explain how the relationship between unemployment, consumption, and production put the nation’s economy into a downward spiral.

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Based on macroeconomics, the relationship between unemployment, consumption, and production put the nation’s economy into a downward spiral because unemployment reduces total quantity demand, which reduces consumption level, and affects production, thereby, leading to economic woes.

What is Unemployment?

Unemployment is an economic term that is used to describe the total number of people in a specific country or area who cannot get a job.

High unemployment generally causes low purchasing power among the citizens, which leads to a reduction in consumption.

Consumption at the macroeconomic level is a term that is used to describe the use of goods and services by a household. A vital component of the Gross Domestic Product (GDP).

A reduction in consumption affects a nation's GDP poorly.

Production, on the other hand, is a term that is used to describe the total amount of goods and services produced in a specific economy.

When there is lower consumption, there will be no incentive to produce, which will lead to scarcity and inflation, and ultimately lead to the nation’s economy into a downward spiral.

Hence, in this case, it is concluded that unemployment, consumption, and production, all have impacts on Nation's development

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in order to regulate the monopoly to produce the largest possible output without a loss, government regulators would establish a price of

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In order to regulate the monopoly to produce the largest possible output without a loss, government regulators would establish a price where it equals the average total cost, therefore no subsidy is needed.

What is average total cost?

The average total cost is calculated as the overall production costs divided by the total output. To put it another way, the average cost is the sum of all fixed and variable costs divided by the total number of units produced by the company.

How businesses decide to price their commodities is strongly influenced by the average cost. It is used to calculate the breakeven price, which is the lowest price at which the company will be profitable and profitable. The corporation or business organization will experience losses if the price is set below the average total cost.

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true or false: cumulative voting means board members are elected one at a time, with each shareholder casting his or her allotted votes for each seat on the board.

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False, cumulative voting means board members are elected one at a time, with each shareholder casting his or her allotted votes for each seat on the board.

Why should tiny shareholders favor a cumulative vote over a straight vote?

Minority shareholders benefit from cumulative voting because it improves their power to choose a director. In contrast to straight voting, cumulative voting allows shareholders to vote for a single candidate with all of their votes. There are two primary types of majoritarian systems, one that uses ranked voting in a single election and the other that uses numerous elections to gradually reduce the number of candidates. Both are typically applied to constituencies with a single member. Shareholders can focus their votes for a single candidate they support by using cumulative voting.

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true or false - penny stocks never raise in value enough to be listed on major stock exchanges. they are always high-risk scams. true false

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The following statement, "Penny stocks never raise in value enough to be listed on major stock exchanges. they are always high-risk scams." is False.

A stock exchange is a marketplace where stocks are traded between investors. It usually refers to the exchanges where stocks and other securities are bought and sold.

The stock exchange is an important part of the economy because it provides a place for businesses to raise capital by selling stocks. It also provides a way for investors to buy and sell stocks. The stock exchange is regulated by the government to ensure that it is fair and orderly.

Hence, the statement is "False".

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calculate troy's net investment income and his current investment interest deduction. how is a deduction for any potential excess investment interest treated?

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The way that the deduction for the potential excess investment would be treated is that : it would have to be added to the General Fund on the Liabilities side of the Balance Sheet.

What is meant by the balance sheet?

A balance sheet is a financial statement that lists the assets and liabilities of a corporation at a certain point in time. It is one of the three primary financial statements—the other two being the income statement and cash flow statement—that are used to assess a company's performance.

A company's resources (assets) and sources of capital (equity and liabilities/debt) are detailed in the balance sheet. An analyst can use this data to determine a company's ability to cover short-term operational expenses, pay off future debt, and distribute profits to shareholders.

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calculate the annualized yield for commercial paper with 15 days to maturity that is priced at $997,500.

Answers

A zero-coupon bond's yield to maturity is calculated using the following formula: Yield to Maturity = [Annual Interest + (FV-Price)/Maturity] (FV + Price)/2

What does "yield to maturity" mean?

The yield on a bond is the overall return that the buyer will get from the moment the bond is bought until the bond matures. A city might, for instance, issue bonds with a 2.192% annual yield until they mature on September 1, 2032.

Does a bond with a zero coupon have a yield till maturity?

Zero-coupon bonds always show yields to maturity equal to their normal rates of return, even when no interest is taken into consideration. The spot rate is another name for the zero-coupon bond yield to maturity.

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which of these statements regarding the differences between monopoly and a competitive market are true?

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A monopolist can earn profits in the long run, but a firm in a perfectly competitive market cannot.

A monopoly, as defined with the aid of Irving Fisher, is a marketplace with the "absence of opposition", growing a state of affairs in which a selected individual or business enterprise is the best supplier of a selected element. This contrasts with a monopsony which pertains to a unmarried entity's manipulate of a market to purchase a terrific or provider, and with oligopoly and duopoly which consists of some dealers dominating a marketplace.[1] Monopolies are consequently characterised via a loss of monetary opposition to provide the best or carrier, a loss of viable alternative goods, and the possibility of a high monopoly fee properly above the seller's marginal value that leads to a high monopoly earnings.

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When we reject the null and the null is true, we have a made a _________ __________.

Answers

Answer: Type. And Error.

Explanation: Hope This Helps, Have A Good Day. <3

which inventory system responds to a channel member's inventory needs by drawing the product through the distribution channel

Answers

Reactive/Pull Inventory System responds to a channel member's inventory needs by drawing the product through the distribution channel.

What is a pull inventory system?In a lean manufacturing technique known as the pull system, products are produced in response to real demand rather than expectations. In this type of strategy, businesses merely maintain an inventory and create enough product to fulfil current client requests.A neighbourhood coffee shop that prepares coffees and other hot beverages based on client requests is an example of a pull system. The procedure of making hot beverages doesn't start until a consumer places an order.Advantages. The pull method is customer-focused, has a little inventory, may enhance cash flow, and makes products to order. In contrast, the Push system has a long list, is producer-centric, can manufacture to order, and bases demand on forecasts.

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a sofa regularly sells for . the sale price is . find the percent decrease of the sale price from the regular price.

Answers

First: determine the increase or difference between the two numbers you are comparing. Then: Multiply the result by 100 percent after dividing the increase by the original number.

increase equals increase minus original number minus 100. This is a percentage decrease if your response is negative.

It is stated in the given problem that the price has decreased. Therefore, the formula can be used to solve for the percentage change:

As stated in the problem, our original price is 790, and our sale price is 624.10, so our percentage change is equal to 100%.

The percentage change is as follows: 790 - 624.10/ 790 * 100%

= 165.90/790* 100%

0.21 * 100% Change in Percentage = 21%

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Full Question = A sofa regularly sells for $790. The sale price is $624.10. How do you find the percent decrease of the sale price from the regular price?

the text notes two ways a company can address the economic risk that comes from foreign investments. what are those two ways?

Answers

The two ways are, revise future cash flows from the project downward increase discount rate for high risk.

What are the economic risk that comes from foreign investments?For someone like you who invests, investment risk is the degree of uncertainty and/or potential financial loss associated with a decision to make an investment. In other words, you can't be certain if investing your money will result in the profits you want or unexpected losses. Despite the fact that product names and descriptions frequently alter, some examples of high-risk investments include: (also known as cryptos) Mini-bonds (also termed high interest return bonds) (sometimes called high interest return bonds) banking on land.The two ways are, revise future cash flows from the project downward increase discount rate for high risk.Widely, risks can be classified into three types: Business Risk, Non-Business Risk, and Financial Risk

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Which occupations are likely to include an element of personal selling at some point?.

Answers

Answer: A banker, A tax accountant, An HR manager are the occupations that are likely to include an element of personal selling  at some point.

What are the most effective social media platforms for content distribution according to marketers?.

Answers

What are the most effective social media platforms for content distribution according to marketers?

Answer:

Tiktok

Youtube

Pinterest

Facebook

Instagram

Twitter

assuming made from scratch is a competitive profit maximizing firm, how many workers will the firm hire

Answers

A profit-maximizing competitive firm will hire workers up to the point at which the wage equals the marginal product of labor.

When marginal revenue and marginal cost are equal, or when MR = MC, a fully competitive firm will make the decision that will maximize its profits. As long as MR > MC, a profit-driven company should continue to increase production.When the marginal cost is decreasing, a profit-maximizing competitive business will keep producing in the range until the marginal revenue exceeds the marginal cost. The point at which marginal cost equals marginal income will occur as long as the profit tends to rise and equilibrium output has not been reached.

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Helpful hardware sells windows (80% of sales) and doors (20% of sales). The selling price of each window is $400 and of each door is $1,000. The variable cost of each window is $250 and of each door is $700. Fixed costs are $1,440,000. The break-even point in units using the weighted-average contribution margin is:.

Answers

The number of units to be produced for breakeven will be windows =6400 and doors = 1600

How to calculate the number of units?

Contribution per unit will be:

Windows = 400-250 = $150 per unit

Doors = 1000-700 = $300 $/per unit

Total contribution of a bundle = 20% 300+150 *80 % = 180 $ per unit

Break even unit will be:

= 1440000/180 $

= 8000 units

Windows =8000 * 0.8

= 6400 units

Doors = 8000 - 6400

= 1600 units

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when solving decision trees, what phrase represents the act of dropping an alternative from consideration because it is less favorable than another available option?

Answers

Pruning a branch represents the act of eliminating an alternative from consideration because it is less favorable in solving decision trees.

In the context of decision trees, what is the purpose of tree pruning?

Pruning lessens the size of choice trees by eliminating portions of the tree that don't give ability to characterize examples. Out of all the machine learning algorithms, decision trees are most susceptible to overfitting, but effective pruning can lessen this risk.

How does pruning relate to the decision tree?

In machine learning and search algorithms, pruning is a data compression technique that reduces the size of decision trees by removing redundant and non-critical sections for instance classification.

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Full Question = When solving decision trees, what phrase represents the act of dropping an alternative from consideration because it is less favorable than another available option?

A) cut the leaf

B) open the hatch

C) shake the tree

D) punt the ball

E) prune the branch

based on the timeline, which conclusion can be made about american policy in these years?

Answers

The opponents of annexing foreign countries were defeated by American imperialists.

What do you mean by imperialism?

Imperialism is the state's pursuit of expanding its power and dominance, particularly through outright territorial conquest or by seizing control of neighboring nations' governments and economies.

The imperialistic rule of France over Vietnam from the middle to the end of the 1800s is an illustration. British rule over a number of nations in the early 1900s, including India, Australia, and numerous African nations, is another illustration of imperialism.

Imperialism is the use of military force or other forms of coercion to increase a nation's power and influence. The main objective of European nations in the 15th and 16th centuries was colonization.

The concept of imperialism has historically been linked to the ancient governmental structure known as the Empire.

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2
What business approach measures team performance by the success of each group member?
OA. the results approach
OB. the individual approach
O c. the behaviors/process approach
O D. the personal approach
Reset
Next

Answers

Answer:

the individual approach

The short-run quantity of output supplied by firms will fall short of the natural level of output when the actual price level the price level that people expected.

a. True
b. False

Answers

The short-run quantity of output supplied by firms will fall short of the natural level of output when the actual price level the price level that people expected is False.

What happens to the short-run quantity of output supplied by firms?If actual economic price levels differ from predicted price levels in the short term, the amount of production that firms produce may vary from the natural level of output. It is explained by a number of theories how this might occur.In the short term, other manufacturers' output will be less than it would be naturally. This is due to the fact that other manufacturers mistakenly believe that prices are falling relative to other goods and services due to the decline in price level. Since it is no longer viable for them to supply more, they likewise supply less as a result.

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which economic condition of the 1920s was a major cause of the great depression?

Answers

Industry overproduced consumer goods is the major cause of the great depression in 1920s.

What is great depression?

⇒The 1929–1939 Great Depression was a global economic depression that affected all countries. Economic institutions, macroeconomic policy, and economic theory underwent dramatic adjustments as a result of the industrialized West's first downturn of this duration and intensity. Although it began in the United States, the Great Depression had a significant effect on almost every country in the world, causing large declines in output, high rates of unemployment, and severe deflation. Its social and cultural effects were no less shocking, especially in the United States, where the Great Depression was the nation's worst economic crisis since the Civil War. The timing and severity of the Great Depression varied significantly by location.

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exported piano component parts to a company in taiwan, it allowed the company 90 days to pay for the parts. this is an example of a(n)

Answers

It allowed the company 90 days to pay for the parts. this is an example of a Export Credit Agreement.

What is company?
A group of people can come together to form a company, that is a legal entity used to conduct business and run industrial or commercial enterprises. According to the corporate law of the its jurisdiction, a company may be set up in a variety of ways for tax as well as financial liability reasons. Any business structure, such as a partnership, sole proprietorship, or corporation, will typically depend on the industry in which the company operates. Additionally, this same ownership structure of a business is indicated by these structures. Between private as well as public companies can also be distinguished. Both have unique requirements for financial reporting as well as various ownership structures and rules.

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a country in which a multinational company conducts business activities is called the:____.

Answers

Host country refers to the nation in which a multinational corporation operates its business.

A nation where a big international event is hosted is referred to as the host country. In this year's conference, Chile will serve as the host nation. a nation where immigrants want to settle.

Many immigrants have a difficult time assimilating into their new society. The term "home country" refers to the place a person was born and raised, whereas the term "host nation" denotes the place where an immigrant is currently residing.

A corporation with operations in another country is said to be operating in a host country. The corporation can easily relocate its operations to another nation if production costs increase in the host nation.

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one country has a comparative advantage over another country in the production of a good if it group of answer choices has a curved production possibilities curve and the other country has a linear production possibilities curve. has a linear production possibilities curve and the other country has a curved production possibilities curve. is a lower opportunity cost producer of the good. has lower fixed costs than the other country.

Answers

A seller of the good with a lower potential cost. If a group of answer options offers curved production possibilities, one country has a competitive advantage over another in the manufacturing of that good.

What does "production curve" mean?

The graph known as the curve of production opportunities (PPC) illustrates all the possible output combinations that can be created using the available resources and technology.

What is a production possibilities curve example?

For instance, if a business creates a new device that can speed up the production of cheese, the output will likewise rise. As long as all other production factors stay the same, this boost in output will cause the curve to move outward. However, the curve may also turn inwards at certain instances.

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Select all that apply
Which businesses would be categorized as "multinational organizations," as opposed to "multinational corporations"? (Choose every correct answer.)
Exxon Mobil
International Red Cross
Johnson & Johnson
World Health Organization

Answers

'International Red Cross' and 'World Health Organization' might be classified as "multinational organizations," as antagonistic to "multinational corporations".

The required details for 'World Health Organization in given paragraph

The World Health Organization (WHO) is a specialized agency of the United Nations answerable for international public fitness. The WHO Constitution states its foremost goal as "the attainment via way of means of all peoples of the best feasible stage of fitness". Headquartered in Geneva, Switzerland, it has six local places of work and a hundred and fifty area places of work global. The WHO become set up on 7 April 1948. The first assembly of the World Health Assembly (WHA), the agency's governing body, came about on 24 July of that year. The WHO included the assets, personnel, and obligations of the League of Nations' Health Organization and the Office International d'Hygiène Publique, which includes the International Classification of Diseases (ICD). Its paintings commenced in earnest in 1951 after a enormous infusion of economic and technical resources.

The WHO's mandate seeks and includes: operating global to sell fitness, maintaining the sector safe, and serve the vulnerable. It advocates that 1000000000 extra human beings have to have: established fitness care coverage, engagement with the tracking of public fitness risks, coordinating responses to fitness emergencies, and selling fitness and well-being.

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if a loan isn‘t repaid, the__ of the borrower—used as security for the debt—could be sold by the lender.

Answers

If the loan is not repaid, the collateral of the borrower - used as security for the debt - could be sold by the lender.

What is collateral?

Collateral is the asset that a lender accepts as security for extending a loan. If the borrower doesn't make payments, the lender may take the security. Simply put, collateral is something of value that a lender may take from a borrower if the latter fails to repay a loan in accordance with the terms set forth.

It is an asset or other type of tangible property that the borrower possesses, such as a home, animals, a car, etc. The borrower receives loans from the banks based on these assets. The lender has security provided by the collateral. Therefore, collateral serves as a guarantee to the bank so that, in the event that the borrower defaults on the loan, the bank may sell the collateral and recover the loan balance.

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sib inc, a small company, hires salespeople whom it plans to motivate to give their best. at the same time, the company also wishes to protect the salespeople from income uncertainty and anxiety. your advice on how the sib salespeople should be paid?

Answers

The mixture of both a and b above (fixed costs, such salary, / variable costs, like commission%) is our recommendation for how the individual salesmen should be compensated.

What is a salesperson's job description?

Simply put, a salesperson builds a company's reputation while promoting its products or services. They manage customer relationships and serve as the main point of contact from the alpha wave outreach to the actual transaction.

What do you call folks who sell things?

A salesperson is a person with the profession of selling goods or services. A salesperson is sometimes known as a sales rep (or sales representative). The terms "salesman" and "salesperson" are still regularly used, despite the fact that "salesperson" and "sales rep" are regularly used in their place. The plural form of salesperson is salespeople.

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A 26 year old female jumped from the second floor of her house. She states she was getting away from her abusive husband. What should you do? one number is six less than a second number. Four times the first is 2 more than 6 times the second. Finde the numbers A city has 3 new houses for every 7 old houses. If there are 21 new houses in the city, how many old houses are there? A. 52 B. 49 C. 51 D. 47 if an account has a debit balance of $840 in the trial balance section of a worksheet and there is a credit of $480 in the adjustments section, the account balance in the adjusted trial balance section of the worksheet is a multiple choice $1,320 debit. $360 debit. $360 credit. $480 credit. Based on chapter 5, what can you infer about how Harriet Tubman views her own role in the Underground Railroad and the abolitionist movement? Cite evidence from the text to support your answer. Type your answer in the box below.this is an edmentum questions help pls pls help immediately TO SUBSCRIBE TO MY YT MELTypool Create an equivalent expression for 18^-7. 18^5. -18 18 1/18^-2 1/18 doors for the small cabinets are 10.5 inches long. Doors for the large cabinets are 2.7 times as long as the doors for the small cabinets. How many large doors can be cut from a board that is 12 feet long? of the following influence tactics, which would be most effective for malcolm to get his team members to work on the task? If a polynomial function has integer coefficients, then every rational zero of the function has the form p/q, where p is a factor of the ? and q is a factor of the ? ucu to ucc in a bacterium there is mutation in the gene for the repressor protein of the lac operon when lactose is present how owuld this mutation affect the function of the lac operon Question 30 of 43The balanced equation for the neutralization reaction of aqueous H2SO4 with aqueous KOH is shown.H2SO4 (aq) +2KOH (aq) 2H2O+K2SO4 {aq}.What volume of 0.240M KOH is needed to react completely with 11.4mL of 0.110M H2SO4 ? A 224-inch is cut into two pieces. One piece is three times the length of the other. Find the length of the shorter piece. A class is planning a trip to the local City Museum of Art. There are 22 people going on this trip.There are four drivers and two types of vehicles, cars and trucks. The cars set four people,including the driver and the truck seats six people again including driver. How many trucks andcars doe the class need for this trip? Write a system of equations to solve.12/24 when caring for a client with chronic glaucoma, the nurse sets the goal of drug therapy to slow disease progression by reducing iop. what are the first-line drugs used to treat glaucoma? A new organism, Organism E, has been discovered. How could scientists use its DNA to compare and classify this new organism? rogue drafting has equity with a market value of $450,000 and debt with a market value of $350,000. if debt has an after-tax cost of 8% and common stock has a before-tax cost of 12% and the firm has a tax rate of 40%; what is the wacc? in a phylogeny, information about relatedness is portrayed by the pattern of branching, not by the order of taxa at the tips of the tree. how do we do this I just forgot please help!I will pray for you If you do it Thanks