You purchase 240 shares of stock at $37.60 per share. Several months later you sell the shares at $33.10. Your broker charges 2% commission on round lots and 3% on odd lots. Calculate the gain or loss (in $) on the transaction.

Q: On 1 June, shares in Blue.com traded at $30.58. Your broker allowed you to buy the shares on margin…

A: Given: Purchase price = $30.58 Closing price = $26.42 Initial margin = 60%

Q: You purchase 380 shares of stock at $37.60 per share. Several months later you sell the shares at…

A: Gain or loss will be the difference between to total purchase price and net proceeds Gain or loss…

Q: You own 3,000 shares of stock in Avondale Corp. You will receive a $0.85 per share dividend in one…

A: Liquidating dividends are those that are paid by the company to its shareholders when the company is…

Q: You’ve just opened a margin account with $13,475 at your local brokerage firm. You instruct your…

A: Step 1: Calculate the Total Purchase Price of the StockTotal Purchase Price =Number of Shares×Price…

Q: In June an investor purchased 250 shares of Oracle (an information technology company) stock at $18…

A: The weighted mean share price refers to the average price that the investor pays for their holdings…

Q: Use the commission schedule from Company A shown in the table to find the annual rate of interest…

A: Here,No. of Shares is 330 sharesPurchase Price of Shares is $10.69Selling Price of Share is $18.91

Q: You purchased 100 shares of Facebook, Inc. common stock on margin at $169.25 per share.Assume the…

A: Nos. of stocks purchased, N = 100Price per share, P = $ 169.25 / shareTotal purchase consideration,…

Q: braham bought 100 share of XYZ at $49 and sold 2 May 50 calls at $6/share. Calculate the net debit…

A: Hello. Since your question has multiple parts, we will solve first question for you. If you want…

Q: Dée Trader opens a brokerage account and purchases 100 shares of Internet Dreams at $58 per share.…

A: Number of shares purchased 100 Price per share $58 New share price $48 Amount borrowed from…

Q: On January 1, you sold short one round lot (that is, 100 shares) of Snow's stock at $20.00 per…

A: In short sell is virtual selling in which do not own stock but tends to buy later on with decrease…

Q: On March 1st, Frank opens a brokerage account and sell shorts 300 shares of Doggie Treats Inc. at…

A: Stock: Stock is the number of shares being owned by the company. It is being segregated into two…

Q: An investor short sells 250 shares of a stock for $43 per share. The initial margin is 60%. Ignoring…

A: Initial margin The amount kept aside to protect from the risk of the counterparty is known as the…

Q: You purchased 74 shares of Z stock in January 2008 for $40 per share. Each year you recelved a cash…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Use the commission schedule from Company A shown in the table to find the annual rate of interest…

A: The rate of return on the stock refers to the annual profits provided by the stock to the investors.…

Q: An investor puts up $5,000 but borrows an equal amount of money from his broker to double the amount…

A: Solution:Investor’s rate of return means the percentage of net earnings to own invested funds.

Q: A share that can be purchased for $1,173.70 will pay a quarterly dividend in perpetuity at the rate…

A: Dividend is an additional amount paid by the company to the shareholders as a return. It is an…

Q: purchased 90 shares of a stock at the start of the month, with part of the purchase financed by your…

A: In stock market trading is done through brokers and broker require margin in account and remain…

Q: 5000 shares of stock were purchased at $25 per share with a 5% broker commission.  The following…

A: a) Computation of Cost of Investment:

Q: On October 1, you sold short 100 shares of Wayne stock at $25 per share. On December 1, a dividend…

A: A short sale is a type of financial transaction where an investor sells a financial item that they…

Q: a) You purchase 516 shares of ABC Co. stock on margin at a price of $37. Your broker requires you to…

A: STEP 1 MARGIN CALL A margin call is a notification from the brokerage business that the amount of…

Q: On March 1st, Frank opens a brokerage account and sell shorts 200 shares of Doggie Treats Inc. at…

A: The margin requirement is the minimum amount that the investor needs to keep in the margin account.…

Q: You purchase 60 shares for $60 a share ($3,600), and after a year the price falls to $55. Calculate…

A: The return on investment is a measurement used to quantify how much income or amount of money an…

Q: Please do stepwise and correct please ill like.   Dée Trader opens a brokerage account and…

A: Number of shares purchased = 200Price per share = $46Amount borrowed from brokers = $2,400Interest…

Q: You purchased 74 shares of Z stock in January 2008 for $40 per share. Each year you received a cash…

A: Purchase Cost (74*$40)$2,960ADD: Brokerage (2,960*3%)$88.80TOTAL PURCHASE COST.$3,048.80

Q: On 1 June, shares in Blue.com traded at $61.25. Your broker allowed you to buy the shares on margin…

A: Percentage of return = Total return / Initial price of shares

Q: You've just opened a margin account with $27,755 at your local brokerage firm. You instruct your…

A: The dollar returns on the stock investment will be the sum of capital gains due to the appreciation…

Q: Katty bought a stock at $40 per share using 60% initial margin. The broker charges 8% on the loan…

A: The margin account refers to the brokerage account where the investor needs to invest only a part of…

Q: Suppose you sold short 100 shares of some stock on January 1 at a price of $30 per share. A dividend…

A: Gain on Sale = Sale Price of Shares - Cost of acquisition of Share - Transaction cost

Q: You purchase 280 shares of stock at $37.80 per share. Several months later you sell the shares at…

A: Total number of stocks purchased is 280 Purchase price per share is $37.80 Selling price per share…

Q: Your broker mailed you your year-end statement. You have P250,000 invested in Happy Chemical,…

A: In the given case, we have provided the investment amount of each stock. Summing up each investment…

Q: An investor buys $ 20,000 worth of a stock priced at $ 25 per share using 80 % initial margin . The…

A: Given Information: Stocks purchased - $20,000 Stock price - $25 Initial margin - 80% Broker charges…

Q: On 1 June, shares in Blue.com traded at $40.82. Your broker allowed you to buy the shares on margin…

A: Given: Purchase price = $40.82 Closing price = $37.40 Initial margin = 60%

Q: 2. Suppose that you owned 1000 shares of stocks in SM. You purchased the shares at a price of Php856…

A: Purchase value = 1,000 x 856 = 856,000 Sales value = 1,000 x 835 = 835,000