Question: If you bought $ 5 0 0 0 using the max amt of leverage and the margin requirement is 5 0 % , and the

If you bought $5000 using the max amt of leverage and the margin requirement is 50%, and the stocks price has fallen by 11%. What would be the size of the margin call?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Q:

Prepare, in good form, the 20X9 GAAP-based Statement of Revenues, Expenditures, and Changes in Fund Balance for the General Fund of Hicks Township, based on the following information: Property tax...

Q:

show all calculations. Question 5 (25 marks) a. You believe that a company, Tech Boom Co. Ltd's stock price may rise shortly and you have $2,000,000 in hand. You opt to open a margin account to...

Q:

1) Which of the following transaction costs could impact the profitability of a trade? a) Broker fee b) Bid-ask spread c) Depth d) Price Impact e) A, B, and D 2) You have the opportunity to invest in...

Q:

Frieden Company's contribution format income statement for last month is shown below: Sales (30,000 units) Variable expenses $1,050,000 630,000 Contribution margin Fixed expenses 420,000 378,000...

Q:

Please see attachment. All three question need to be answered in narrative format. If you have questions, just let me know. Normal requirement for references are 2 outside our course text....

Q:

PLEASE COMPLETE NO LATER THAN 10/07 @8:00AM Each question(1,2,& 3) must be a minimum of 200 words. Please make answers detailed and knowledgeable based off the attached reading. ARE YOU ABLE TO...

Q:

Could you finish this for me? I made it to page 5, but I am running short on time and my conceptualization is lacking. If not, maybe help me figure it out? Annual Report Project Lowe's Companies,...

Q:

Could you finish this for me? I made it to page 5, but I am running short on time and my conceptualization is lacking. If not, maybe help me figure it out? Annual Report Project Lowe's Companies,...

Q:

Can somebody please help me with my Red Company annual project http://www.redcompanyaccounting.com my software ID is 81732832 Annual Report Project Johnson & Johnson - Fiscal 2015 Project is...

Q:

Can somebody please do this assignment currently is very ill and can't do the work my id code is 81732832 Annual Report Project Johnson & Johnson - Fiscal 2015 Project is Activated Save your project...

Q:

I need help with the questions in the last photo. D 1 Breathtakers H N Cups of Bran Cereal Cups of Dry Cereal Cups of meal Cups of Oat brantes * Decision Variables 0.00 0 Cost 018 0.22 0.10 0.12 0.00...

Q:

The financial statements for Castile Products, Inc., are given below: Castile Products, Inc. Balance Sheet December 31 Assets Current assets: Cash $21,000 Accounts receivable, net 230,000 Merchandise...

Q:

Do good smells bring good business? Businesses know that customers often respond to background music. Do they also respond to odors? Nicolas Guguen and his colleagues studied this question. in a...

Q:

5 e x e x + 1 2 d x =

Q:

Write a program and ask the user to enter 3 course grades . Create a function "total" that calculates the total. This function returns a value. the course grades must be entered as float and c...

Q:

Assuming that W = 38.1 eV/ion pair for an imaginary gas (i.e., ignoring Fano factor), find the mean and expected standard deviation in the number of ion pairs formed by the absorption of 7 MeV of...

Q:

Sharon and Rebecca agreed to combine their businesses and formed a partnership on 1 July 2017. The fair value and the carrying amount of the assets contributed by each partner, and the liabilities...

Q:

Make up a clothing store. Using any data that you want, You will need to prepare a two-year projected profit and loss statement (P&L) for your eBusiness. including forecasting the traffic,...

Q:

Question 4 6 1 pts [ Willie ] Willie owns a popular sandwich shop in Gainesville called "Willie's Watch," and they are well - known by students as affordable and quality sandwiches perfect for lunch...

Q:

How does your message use nonverbal communication?

Q:

Is the action/response consistent with the mission of this source? If no, explain the inconsistency.

Q:

What reactive strategies might you develop?