Barbara Simmions purchase 100 shares of Home Depot stock for $183.07 per share,using as little of her own money as she could.her broker has a 60% intial margin requirement and a 38% maintenance margin requirement.if the lrice of home depot stock falls to $137.37 per share.what does barbara need to do?
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- Barbara Simmons purchased 100 shares of Home Depot stock for $187 per share, using as little of her own money as she could. Her broker has a 55% initial margin requirement and a 45% maintenance margin requirement. If the price of Home Depot stock falls to $142 per share, what does Barbara need to do?Lauren short sells 100 shares of XYZ at $52 with a 50% initial margin. She then bays back the stock for $48. If her broker charges 2% of the borrowed amount, what is her percentage profit or loss?After researching Best Buy common stock, Sally Wang is convinced the stock is overpriced. She contacts her account executive and arranges to sell short 400 shares of Best Buy. At the time of the sale, a share of common stock had a value of $160. Three months later, Best Buy is selling for $152 a share, and Sally instructs her broker to cover her short transaction. Total commissions to buy and sell the stock were $64. What is her profit for this short transaction?
- Kim opens a brokerage account and purchases 500 shares of Batliboy at OMR50 per share. She borrows OMR5,000 from her broker to help pay for the purchase. The interest rate on the loan is 7% What is the margin in Kim's account when she first purchases the stock If the share price falls to OMR40 per share by the end of the year, what is the remaining margin in her account? If the maintenance margin requirement is 30%, will she receive a margin call? What is the rate of return on her investment?Kim opens a brokerage account and purchases 500 shares of Batliboy at OMR50 per share. She borrows OMR5,000 from her broker to help pay for the purchase. The interest rate on the loan is 7% What is the margin in Kim's account when she first purchases the stock If the share price falls to OMR40 per share by the end of the year, what is the remaining margin in her account? If the maintenance margin requirement is 30%, will she receive a margin call? What is the rate of return on her investment? (The first question been solved, I need answer for second and third questions)Jessie B. purchases 450 shares of Smooth Sail Inc. for $50 per share at a time when the initial margin requirement is 60%. After two months, seeing that the price of Smooth Sail has fallen to $40 per share, Jessie wishes to buy an additional 200 shares. By this time, the initial margin requirement has gonedown to 50%. Will Jessie be able to do some pyramiding? What is the amount of margin he will be required to provide for his second transaction? Answer the question showing calculations.
- Harry purchases 1,000 shares at the price of $44 using his margin account. If the initial margin is 50% and maintenance margin is 45%, at what price should he receive a margin call?Anne has €60,000 in cash that she plans to invest in Apple stock, which is currently selling at €50 per share. She plans to buy the stock on margin by borrowing 40% of the total investment from her broker, How many shares of Corning will she purchase?After researching Best Buy common stock, Sally Wang is convinced the stock is overpriced. She contacts her account executive and arranges to sell short 200 shares of Best Buy. At the time of the sale, a share of common stock had a value of $140. Three months later, Best Buy is selling for $132 a share, and Sally Instructs her broker to cover her short transaction. Total commissions to buy and sell the stock were $54. What is her profit for this short transaction? Total profit after commissions?
- a) Jessie B. purchases 450 shares of Smooth Sail Inc. for $50 per share at a time when the initial marginrequirement is 60%. After two months, seeing that the price of Smooth Sail has fallen to $40 per share,Jessie wishes to buy an additional 200 shares. By this time, the initial margin requirement has gonedown to 50%. Will Jessie be able to do some pyramiding? What is the amount of margin he will berequired to provide for his second transaction? Support your answer with relevant calculations.Jessie B. purchases 450 shares of Smooth Sail Inc. for $50 per share at a time when the initial margin requirement is 60%. After two months, seeing that the price of Smooth Sail has fallen to $40 per share, Jessie wishes to buy an additional 200 shares. By this time, the initial margin requirement has gone down to 50%. Will Jessie be able to do some pyramiding? What is the amount of margin he will be required to provide for his second transaction? Support answer with relevant calculations.Maren received 10 NQOs (each option gives her the right to purchase 15 shares of stock for $7 per share) at the time she startes working when the stock price was $6 per share. When the shareprice was $15 per share, she exercised all of her options. Eighteen months later she sold all of the shares for $20 per share. What is the amount of Maren's bargain element?
