You sell short 200 shares of DTI that are currently selling at $25 per share. You post additional $2,500 to meet the 50% initial margin requirement. What is your margin if the stock price changes to $23.7? Enter your answer as a decimal, rounded to three decimal places. Your Answer:
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- You sold short 200 shares of META at $130 per share. You put up additional $13,000 to meet the 50% initial margin requirement. What is your margin if the stock price changes to $140? Enter your answer as a decimal, rounded to three decimal places.You purchase 150 shares for $70 a share ($10,500), and after a year the price rises to $80. Calculate the percentage return on your investment if you bought the stock on margin and the margin requirement was (ignore commissions, dividends, and interest expense): 15 percent. Round your answer to one decimal place. 65 percent. Round your answer to one decimal place. 85 percent. Round your answer to one decimal place.You’ve borrowed $22,000 on margin to buy shares in Ixnay, which is now selling at $32 per share. Your account starts at the initial margin requirement of 50%. The maintenance margin is 30%. Two days later, the stock price falls to $22 per share. a. Will you receive a margin call? multiple choice No Yes b. How low can the price of Ixnay shares fall before you receive a margin call? (Round your answer to 2 decimal places.) Margin call will be made as price _______ or lower.
- A six-month call is the right to buy stock at $19. Currently, the stock is selling for $22, and the call is selling for $6. You buy 100 shares ($2,200) and sell one call (in other words, you receive $600). Does this position illustrate covered or naked call writing? This position illustrates a call. If, at the expiration date of the call, the price of the stock is $32, what is your profit on the combined position? Round your answer to the nearest dollar. $ per 100 shares If, at the expiration date of the call, the price of the stock is $18, what is your profit on the combined position? Round your answer to the nearest dollar. $ per 100 sharesYou sold short 200 shares of Stock B at $25 per share. You have put additional $2,500 to meet the initial margin requirement. What is the margin of your account if the stock price rises to $26? Round your answer to two decimal places and enter it without dollar sign.You purchase 110 shares for $40 a share ($4,400), and after a year the price falls to $35. Calculate the percentage return on your investment if you bought the stock on margin and the margin requirement was (ignore commissions, dividends, and interest expense): 15 percent. Use a minus sign to enter the amount as a negative value. Round your answer to one decimal place. % 50 percent. Use a minus sign to enter the amount as a negative value. Round your answer to one decimal place. % 75 percent. Use a minus sign to enter the amount as a negative value. Round your answer to one decimal place. %
- You’ve borrowed $14,000 on margin to buy shares in Ixnay, which is now selling at $56 per share. Your account starts at the initial margin requirement of 50%. The maintenance margin is 35%. Two days later, the stock price falls to $51 per share. a. Will you receive a margin call? Yes No b. How low can the price of Ixnay shares fall before you receive a margin call? (Round your answer to 2 decimal places.)If you place a stop-loss order to sell 100 shares of stock at $55 when the current price is $62, how much will you receive for each share if the price drops to $50? (Please provide your rationale, otherwise the quarter of the full score will be given.)You decide to sell short 100 shares of Github Industries when it is selling at its yearly high $56. Your broker tells you that your margin requirement is 45 % and that the commision on the purchase is $155. While you are short the stock, Github pays a $2.50 per share dividend. At the end of one year, you buy 100 shares of Github at $45 to close out your position and are charged a commision of $145 and 8 % interest on the money borrowed. What is your rate of return on the investment?
- You purchased one hundred shares of MSFT for fifty dollars per share using a sixty percent initial margin. The price of the stock falls to thirty dollars per share. What is the amount of your margin call if a maintenance margin is thirty percent?You’ve borrowed $20,000 on margin to buy shares in Ixnay, which is now selling at $40 per share. Your account starts at the initial margin requirement of 50%. The maintenance margin is 35%. Two days later, the stock price falls to $35 per share.a. Will you receive a margin call?b. How low can the price of Ixnay shares fall before you receive a margin call?Assume you purchased 200 shares of GE common stock on margin at $70 per share from your broker. If the initial margin is 55%, how much did you borrow from the broker? Assume you sold short 100 shares of common stock at $40 per share. The initial margin is 50%. What would be the maintenance margin if a margin call is made at a stock price of $50?
