Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A benchmark market value index is comprised of three stocks. Yesterday the three stocks were priced at $15,$35, and $80. The number of outstanding shares

image text in transcribed
A benchmark market value index is comprised of three stocks. Yesterday the three stocks were priced at $15,$35, and $80. The number of outstanding shares for each is 900,000 shares, 800,000 shares, and 100,000 shares, respectively. If the stock prices changed to $14,$15, and $130 today respectively, what is the 1 -day rate of return on the index? 24.04%22.31%18.27%13.52% Question 14 4 pts The margin requirement on a stock purchase is 30%. You fully use the margin allowed to purchase 100 shares of MSFT at $250 per share. If the price drops to $220 per share, what is your percentage loss? 40% 12% 17% 20% 35%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

How To Value Buy Or Sell A Financial Advisory Practice

Authors: Mark C. Tibergien, Owen Dahl

1st Edition

1576601749, 978-1576601747

More Books

Students also viewed these Finance questions

Question

Determine the purpose of a personal lia- bility umbrella policy.

Answered: 1 week ago

Question

Guidelines for Informative Speeches?

Answered: 1 week ago