Blossom received a retroactive salary payment of $100,000 and has decided to invest the full amount...

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Blossom received a retroactive salary payment of $100,000 and has decided to invest the full amount in Make Some Money Limited (MSM) stock. In an effort to maximize her returns, she has decided to utilize the available 40% margin. MSM stock is currently trading at $25 and regulators require that investors maintain a margin of at least 20%. a. Determine Blossom's debit balance for this investment. b. How many units of the stock can Blossom buy? c. How low can the stock price fall before Blossom receives a margin call? [2 marks] [1 mark] [8 marks] d. Calculate Blossom's holding period return if she sells the stock for $30 in six months. Assume that no dividends were received. e. Should all investors conduct margin transactions? Explain. [6 marks] [3 marks] Blossom received a retroactive salary payment of $100,000 and has decided to invest the full amount in Make Some Money Limited (MSM) stock. In an effort to maximize her returns, she has decided to utilize the available 40% margin. MSM stock is currently trading at $25 and regulators require that investors maintain a margin of at least 20%. a. Determine Blossom's debit balance for this investment. b. How many units of the stock can Blossom buy? c. How low can the stock price fall before Blossom receives a margin call? [2 marks] [1 mark] [8 marks] d. Calculate Blossom's holding period return if she sells the stock for $30 in six months. Assume that no dividends were received. e. Should all investors conduct margin transactions? Explain. [6 marks] [3 marks]