Assume that an investor buys 100 shares of stock at $50 per share, putting up a 60% margin. If the stock rises to $60 per share, what is the investor's new margin position?
Answer to relevant QuestionsAssume that an investor buys 50 shares of stock at $45 per share, putting up a 70% margin. a. What is the debit balance in this transaction? b. How much equity funds must the investor provide to make this margin ...Briefly describe the composition and general thrust of each of the following indexes. a. NYSE composite index b. Amex composite index c. Nasdaq Stock Market indexes d. Value Line composite index In what two ways, based on the number of shares transacted, do brokers typically charge for executing transactions? How are online transaction fees structured relative to the degree of broker involvement? Briefly describe the types of information that the following resources provide. a. Stockholders’ report b. Comparative data sources c. Standard & Poor’s Corporation d. Mergent e. Value Line Investment Survey You have $5,000 in a 50% margin account. You have been following a stock that you think you want to buy. The stock is priced at $52. You decide that if the stock falls to $50, you would like to buy it. You place a limit ...
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