1. On a given day a stock dealer maintains a bid price of $1,000.50 for a bond and an ask price of $1003.75. The dealer made 10 trades that totaled 800 bonds traded that day. What was the dealer's gross trading profit for this security? (Hint: Whats the spread?)

2.(a) You sold short 500 shares of common stock in MM Ltd. at $30 per share. The initial margin is 50%. Calculate the amount you must initially put up (your investment)

(b) The commission structure on a stock purchase is $50 plus $.05 per share. If you purchase 750 shares of a stock selling for $65, what is your commission?