35) The margin requirement on a stock purchase is 25%. You fully use the margin allowed to purchase 100 shares of MSFT at $25. If the price drops to $22, what is your percentage loss?

A) 9%

B) 15%

C) 48%

D) 57%

E) 60%

36) You short-sell 200 shares of Rock Creek Fly Fishing Co., now selling for $50 per share. If you want to limit your loss to $2,500, you should place a stop-buy order at ____.

A) $37

B) $62.50

C) $56.25

D) $59.75

E) $65.25

37) An investor buys $8,000 worth of a stock priced at $40 per share using 50% initial margin. The broker charges 6% on the margin loan and requires a 30% maintenance margin. In 1 year the investor has interest payable and gets a margin call. At the time of the margin call the stock's price must have been ____.

A) $20

B) $29.77

C) $30.29

D) $32.45

E) $35.50

38) Consider a no-load mutual fund with $200 million in assets and 10 million shares at the start of the year and with $250 million in assets and 11 million shares at the end of the year. During the year investors have received income distributions of $2 per share and capital gain distributions of $.25 per share. Assuming that the fund carries no debt, and that the total expense ratio is 1%, what is the rate of return on the fund?

A) 11.19%

B) 23.75%

C) 24.64%

D) 25.20%

E) The answer cannot be determined from the information given.

39) Suppose you pay $9,700 for a $10,000 par Treasury bill maturing in 3 months. What is the holding-period return for this investment?

A) 3.01%

B) 3.09%

C) 12.42%

D) 16.71%

E) 17.50%