Question
b. If the maintenance margin is 20% , how low can XTel's price fall before you get a margin call? (Round your answer to 2
b. If the maintenance margin is
20%
, how low can XTel's price fall before you get a margin call? (Round your answer to 2 decimal places.)\ Price\ c. How would your answer to requirement b would change if you had financed the initial purchase with only
$17,500
of your own money? (Round your answer to 2 decimal places.)\ Price\
$,12.50
\ d. What is the rate of return on your margined position (assuming again that you invest
$28,000
of your own money) if XTel is selling after one year at (i)
$56
; (ii)
$50
; (iii)
$44
? (Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.)\ \\\\table[[(i) Rate of return,,
%
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