Question: 1 . An increase in the spread _ _ _ _ _ _ _ _ the cost of investing. 2 . Using an online brokerage
An increase in the spread the cost of investing.
Using an online brokerage firm instead of a fullservice brokerage firm A
commissions.
An increase in the margin requirement Bthe amount an investor may borrow to buy
stock.
If an investor uses borrowed funds to buy stock, the potential percentage loss is:
A
Buying a stock on margin instead of cash A risk.
An increase in the margin requirement A the funds an investor must initially remit.
If an investor sells stock short and its price subsequently rises, the investors loss A
If you buy a stock take a long position and the price of the stock rises, you gain A
If stock prices decline, the S&P B
An increase in the Russell suggests that stock pricesA
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