An investor puts up $16,000 but borrows an equal amount of money from his broker to double the amount invested to $32,000. The broker charges 8% on the loan. The stock was originally purchased at $40 per share, and in 1 year the investor sells the stock for $45. The investor's rate of return was Multiple Choice O O 16.50% 8.50% 17.00% 4.50%

1. A mutual fund has an offer price of $7.82 per share and a net asset value of $7.41. What is the sales charge percent? (Round to the nearest tenth.) A. 5.2% B. 5.5%     C. 6.5% D. 94.8%   2. If Tanya's husband were to die, she and her children could live on $64,400 per year. Tanya makes $35,100 annually, and estimates additional income of $21,500 from other sources. How much insurance should she purchase on her husband to cover the shortfall, assuming a 16.7% prevailing interest rate? (Round your answer to the nearest $1,000.) A. $40,000 B. $42,000     C. $47,000 D. $48,000

You have a margin account and deposit Rs.90,000. Assuming the prevailing marginrequirement is 20%, commissions are ignored and D.G.K Cement stock is selling atRs.55 per share while Askari Cement stock is selling at Rs. 85 per share. You invest 40%of your investment in D.G.K cement while remaining is deposited in Askari cement.a. How many shares of each stock can you purchase using the maximum allowablemargin if you invest in both?b. What is your total and percentage profit (loss) if:1. the price of D.G.K Cement Rises to Rs.65 per share while Askari Cement stockrises to Rs. 97 per share?2. the price of D.G.K Cement reduces to Rs.42 per share while Askari Cementstock reduces to Rs. 76 per share?c. If you invest all money in D.G.K cement ONLY and the maintenance margin is 25%,to what price can D.G.K Cement stock fall before you will receive a margin call?d. If you invest all money in Askari cement ONLY and the maintenance margin is 25%,to what price can Askari cement stock fall before you…

Suppose Tyler initially pays $76,000 toward the purchase of $108,000 worth of stock, borrowing the remaining balance from one of notorious brokers, Diego. In this case, Tyler’s initial percentage margin is closest to   A. 70.37%. B. 60.50%. C. 39.50%. D. 29.63%. Clear my choice

Jedson Pinto is a trader for Articuno Capital. He decided to buy 100 shares of Tesla at $ 150 per share. Two-thirds of the purchase was paid with cash, with the remainder using borrowed money. One month later, the stock price increased to $165 per share. The annual interest rate is 2%. What is Pinto's levered return? Group of answer choices 19.67% 14.83% 10.00% 29.63%

You sold short 200 shares of common stock at $60 per share. The initial margin is 65%. What would your rate of return be if you repurchase the stock at $80 per share. Ignore interest on the margin.

Dee Trader opens a brokerage account and purchases 200 shares of Internet Dreams at $50 per share. She borrows $3,300 from her broker to help pay for the purchase. The interest rate on the loan is 6%. Required: a What is the margin in Dee's account when she first purchases the stock? b. If the share price falls to $40 per share by the end of the year, what is the remaining margin in her account?

Seven months ago, you purchased 400 shares of stock on margin. The initial margin requirement on your account is 70 percent and the maintenance margin is 30 percent. The call money rate on the margin loan is 6.65 percent. The purchase price was $16 a share. Today, you sold these shares for $18.00 each. What is your annualized rate of return? O 64.64 percent O 56.87 percent O 33.35 percent O 42.77 percent O 29.39 percent O O

Finance You short sold 700 shares of a stock at $25 a share. The initial margin requirement is 75 percent and the maintenance margin is 35 percent. The price of the stock has changed to $30 a share today. How much money do you owe your broker today? Provide the answer in dollars, accurate to two decimal places.

You've just opened a margin account with $33,880 at your local brokerage firm. You instruct your broker to purchase 800 shares of Landon Golf stock, which currently sells for $77 per share. Suppose the call money rate is 6.5 percent and your broker charges you a spread of 1.25 percent over this rate. You hold the stock for four months and sell at a price of $84 per share. The company paid a dividend of $.32 per share the day before you sold your stock. a. What is your total dollar return from this investment? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Dollar return b. What is your effective annual rate of return? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Effective annual return %