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Assume you just purchased 300 shares of Home Depot at $47.33 per share, and 50 percent of this was purchased on the margin. a. Determine
Assume you just purchased 300 shares of Home Depot at $47.33 per share, and 50 percent of this was purchased on the margin." a. Determine your contribution to this transaction: Total cost Amount borrowed Contribution b. What would happen to your investment if the price of Home Depot stock rose to $61.58 per share ignoring any possible dividends)? Total value Loan Margin What was your profit? c. What would happen to your investment if the price of Home Depot stock fell to $36.96 per share (ignoring any possible dividends)? Total value a. Assume you just purchased 300 shares of Home Depot at $47.33 per share, and 50 percent of this was purchased on the margin", the amount of your contribution is $ 7099.5. (Round to the nearest cent.) b. If the price of Home Depot stock rose to $61.58 per share (ignoring any possible dividends), the total value of the investment would now be $ 18474.00. (Round to the nearest cent.) The loan amount is $ . (Round to the nearest cent.)
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