Talbot Industries is considering launching a new product. The new manufacturing equipment will cost $15 million, and production and sales will require an initial $4 million investment in net operating working capital. The company's tax rate is 35%

What is the initial investment outlay? Write out your answer completely. For example, 2 million should be entered as 2,000,000.
$

The company spent and expensed $150,000 on research related to the project last year. Would this change your answer?
Yes or No

Profits from using currency options and futures. on july 2, the two-month futures rate of the mexican peso contained a 2 percent discount (unannualized). there was a call option on pesos with an exercise price that was equal to the spot rate. there was also a put option on pesos with an exercise price equal to the spot rate. the premium on each of these options was 3 percent of the spot rate at that time. on september 2, the option expired. go to the oanda. com website (or any site that has foreign exchange rate quotations) and determine the direct quote of the mexican peso. you exercised the option on this date if it was feasible to do so. a. what was your net profit per unit if you had purchased the call option? b. what was your net profit per unit if you had purchased the put option? c. what was your net profit per unit if you had purchased a futures contract on july 2 that had a settlement date of september 2? d. what was your net profit per unit if you sold a futures contract on july 2 that had a settlement date of september 2