An investor believes that NVDA stock is a good purchase.  She wants to believes that the stock will appreciate 8% following the next earnings call.  Currently NVDA trades for $700/share.

The investor wants to have margin position where her dollar gain will be $25,000.   Assuming an initial margin of 70% and that the investor's prediction about the price change is correct, how much of her own money will she need to invest?

Answer rating: 100% (QA)

To calculate how much of her own money the investor will need to invest in ... View the full answer