FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

assume that stock J is priced at 92/share and pays a divident of 0.7/share. an investor purchases the stock at margin 50% and borrowing the

assume that stock J is priced at 92/share and pays a divident of 0.7/share. an investor purchases the stock at margin 50% and borrowing the remainder from the broker at 10%. if after one year, the stock is sold at a price of $127 per share. what is the return to the investor?

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

The Risk Modeling Evaluation Handbook Rethinking Financial Risk Management Methodologies In The Global Capital Markets

The Risk Modeling Evaluation Handbook Rethinking Financial Risk Management Methodologies In The Global Capital Markets

Authors: Greg Gregoriou, Christian Hoppe, Carsten Wehn

1st Edition

0071663703, 978-0071663700

More Books

Students also viewed these Finance questions

Question

★★★★★
The manufacturer of a new sleeping pill suspects that it may increase the risk of sleepwalking, which could be dangerous. A test of the drug fails to reject the null hypothesis of no increase in...

Answered: 1 week ago

Question

★★★★★
For this discussion you will need to research the impact that storage performance factors can have on virtualization and formulate a summary. Be sure to include in your initial post information about...

Answered: 1 week ago

Question

★★★★★
How can the negotiation situation and environment affect the participants in the negotiation if it is held in the home country, the opponents country, or a neutral country?

Answered: 1 week ago

Question

★★★★★
How many new menu items can be examined on the survey? Remember, all menu possibilities should be assessed but you must have a manageable number of questions so the survey can be performed in a...

Answered: 1 week ago

Question

★★★★★
assume that stock J is priced at 92/share and pays a divident of 0.7/share. an investor purchases the stock at margin 50% and borrowing the remainder from the broker at 10%. if after one year, the...

Answered: 1 week ago

Question

★★★★★
The Thompson Corporation, a manufacturer of steel products, began operations on October 1, 2016. The accounting department of Thompson has started the fixed-asset and depreciation schedule presented...

Answered: 1 week ago

Question

★★★★★
What is job enlargement ?

Answered: 1 week ago

Question

★★★★★
What is the primary risk factors associated with ectopic pregnancy ?

Answered: 1 week ago

Question

★★★★★
what is the most common cause of preterm birth in twin pregnancies?

Answered: 1 week ago

Question

★★★★★
Which diagnostic test is most commonly used to confirm PROM?

Answered: 1 week ago

Question

★★★★★
What is the hallmark clinical feature of a molar pregnancy?

Answered: 1 week ago

Question

★★★★★
2. Critically evaluate the relative effectiveness of on-the-job training and off-the-job training.

Answered: 1 week ago

Question

★★★★★
identify when to use a variety of learning and development techniques

Answered: 1 week ago

Question

★★★★★
1. Many organisations do not provide an adequate induction programme for new employees. Comment critically on the benefi ts to be gained from implementing a good induction programme, and outline what...

Answered: 1 week ago

Previous Question Next Question