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complete answers please. An investor purchases 200 shares of Boeing (BA) at $211 per share. Over the course of the year, the share price rises
complete answers please.
An investor purchases 200 shares of Boeing (BA)
at $211 per share. Over the
course of the year, the share price rises to $233
and BA pays a $3 dividend.
What is the investor's holding period return (HPR) if
they made the purchase
using margin if the initial margin is 50% and the
interest rate on the margin
loan is 6%?
15.68
17.70
19.13
21.35
Suppose that an investor buys 400 shares of Bank of America (BAC) at $41.78
per share on an initial margin of 50% with a margin loan rate of 6%. If your
brokerage requires a 25% maintenance margin, what is the margin call price
for BAC stock in one year?
26.49
29.52
35.28
39.81
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