You purchased 250 shares of common stock on margin for $ 28 per share . The initial margin is 70 % and the stock pays no dividend but has a trading cost of $ 0.1 per share . Your rate of return would be if you sell the stock at $ 36 per share . Hgnore interest on margin

Q: ny equity capital must the investor provide to make this margin t

A: Equity capital refers to raising funds by liquidating the share of the company. Companies often…

Q: You purchase 200 shares for $50 a share, and after a year the price rises to $70. What is…

A: Hence, the question has been solved in detailed explanation manner.Explanation:The breakdown of your…

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: You are considering purchasing stock in Canyon Echo. You feel the company will increase its dividend…

A: Dividend discount model will be used and applied here. As per the dividend discount model the value…

Q: An investor short sells 100 shares of a stock for $68.18 per share. The initial margin is 57%, and…

A: ParticularsValuesNumber of share100Stock price per share$68.18Initial margin57%Current stock…

Q: You are thinking of purchasing a cumulative, convertible preferred share with a stated dividend of…

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

Q: Assume that an investor buys 100 shares of stock at $53 per share, putting up a 61% margin. If the…

A: A margin account refers to a brokerage account where securities are bought by paying only a portion…

Q: u've borrowed $24,128 on margin to buy shares in Ixnay, which is now selling at $41.6 per share. You…

A: The margin call price is calculated by multiplying the current price by (1-Initial margin) and then…

Q: purchase You pur snares of Company mmon stock on margin at $30 per share. Assu e initial margin is…

A: There are various sources that are used by the company in order to raise the finance, One of them is…

Q: Suppose the call money rate is 4.5 percent, and you pay a spread of 2.5 percent over that. You buy…

A: Rate of return refers to the minimum return that is being earned by an investor over an investment…

Q: You are considering purchasing stock in Canyon Echo. You feel the company will increase its dividend…

A: In this question, we are required to determine the price per share of the company's stock.

Q: Suppose you purchase one share of the stock of Volatile Engineering Corporation at the beginning of…

A: The Time-Weighted Rate of Return is a technique that measures an investment portfolio's performance…

Q: You have the following share price of XYZ.   DATE Price 2-Mar-2021 $100 3-Mar-2021 $60…

A: The dollar weighted rate of return is calculated on the basis of the value of the investment at the…

Q: You purchased 250 shares of common stock on margin for $25 per share. The initial margin is 80%, and…

A: The rate of return that an investor is expected to earn from the investment is termed as the…

Q: uppose that Nintendo Co., Ltd. (NTDOY) is currently trading at $180 per share. Mark buys 200 shares,…

A: Brokers provide margins to client for trading and so that they can trade more and so that client and…

Q: Suppose that you just purchased 250 shares of Beta Banana's stock for $70 per share. The initial…

A: A margin call is made when an investor's equity, expressed as a percentage of the total market value…

Q: IOP will pay a dividend of $4.10, $8.20, $11.05, and $12.80 per share for each of the next four…

A: Current price of share is the price which can be paid for purchase of the share. It is also called…

Q: An investor short sells 100 shares of a stock for $68.59 per share. The initial margin is 58%, and…

A: Margin refers to the amount of money that is borrowed to finance the underlying transaction, It is…

Q: Assume you purchased 2000 shares of XYZ common stock on margin at $ 30 per share from your broker .…

A: Interest amount will be computed by finding the leverage amount taken from the broker.

Q: nase 100 snares of stock Tor $25 a snare. The stoCK pays a $1 per share dividend at year-end. a.…

A: As posted multiple independent questions we are answering only first question kindly repost the…

Q: You purchased 100 shares of common stock on margin for $30 per share. The initial margin is 50%, and…

A: Initial Investment = Number of Common Shares*Purchase Price Per Share*Initial Margin Percentage=…

Q: You purchased 269 shares of common stock on margin for $45.22 per share.  The initial margin is 50%…

A: Using the rate of return formula

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: Assume you buy 200 shares of stock at $70 per share on margin (40 percent). a. If the price rises to…

A: A margin account refers to an account used for purchasing securities where the investor has to pay…

Q: You have the following share price of XYZ.   DATE Price 2-Mar-2021 $100 3-Mar-2021 $60…

A: Purchase Value = No. of shares * Share price  Purchase Value = 100 shares * $100 = $10000

Q: Kassidy's Kabob House has preferred stock outstanding that pays a dividend of $5 at the end of each…

A: Preferred Stock Dividend = $5Preferred Stock Price = $50 Calculation of Required Rate of Return per…

Q: Question A, B & C please. A study guide question. Suppose you sell short Tesla which is currently…

A: Margin call is an additional amount which is demanded by broker from investor to balance the…

Q: An ordinary share selling at a current market price of RO 15 and paying a current dividend of RO…

A: Given: Current market price =RO 15Current dividend =RO 0.10Expected growth rate =6%

Q: The margin requirement on a stock purchase is 30%. You fully use the margin allowed to purchase 200…

A: The term stocks or shares refers to the equity security that is issued by the company to raise…

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

A: Purchase worth = $20,000 Price of stock = $25 Initial margin = 80% Broker charge = 5% Maintenance…

Q: You purchased 395 shares of ABC common stock on margin at $25 per share. Assume the initial margin…

A: The amount of margin that you as an investor has taken from your broker: Margin per share  =  Stock…

Q: u short sell 1,000 shares of RAJ stock at a price of $70. Your initial margin is 50%. If you cover…

A: The short sale is a process in which the trader has entered into a contract and sells the share…

Q: A stock is selling today for $50 per share. At the end of the year, it pays a dividend of $3 per…

A: The dividend yield is the percentage ratio that tells us about how much dividend a company is paying…

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: the call money rate is 6.8 percent, and you pay a spread of 1.9 percent over that. You buy 1,300…

A: In the trading there is margin given by the brokers so that they clients can earn more and the…