3. Suppose you take $5,000 of your own money and borrow an additional $7,000 from your broker. Your total investment will be $12,000. Calculate the margin. A. 58.33% B. 41.67% C. 16.67% D. 71.43%

. You're managing a $10 million stock portfolio with a beta of 1.2, which you decide to hedge by buying index put options with a contract value of $150,000 per contract and a delta of .40. How many option contracts are required? A. 230 B. 150 C. 300 D. 200

The six-month futures price on a non-dividend-paying stock is $64.53. The risk-free rate is 4.62 percent and the market rate is 11.41 percent. What's the spot rate for this stock if spot-futures parity exists? A. $56.56 B. $61.68 C. $63.09 D. $41.91