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Dee Trader opens a brokerage account and purchases 300 shares of internet Dreams at $32 per share She borrows $4,600 from her broker to help
Dee Trader opens a brokerage account and purchases 300 shares of internet Dreams at $32 per share She borrows $4,600 from her broker to help pay for the purchase. The interest rate on the loan is 6% Required: 6. What is the margin in Dee's account when she first purchases the stock? Margin 5.000 b. If the share price fails to 321 per share by the end of the year, what is the remaining margin her account? 1124 c. If the manance margin requrement is 30% wil she receive a margin call No Yes D d. What is the rate of return on her investment? (Negative value should be indicated by a minus sign. Round your answer to 2 decimal places) 50 79 The show is purchased for $32.300 shares = 59.600 Given that the amount borrowed from the brokers 54.600 Desmarg is the purchase price net borrowing $9.500 - 54.000 55.000 of the shore price fata to the the value of the rock li to 56.300 by the end of the year, the amount of the loan owed to the broer grows to Principal. = 54.600000-$4876 The of the doctolls to $21-300 shares 56,300 The remaining margin in the wor's account 56.300 - 5437631424 Margin on long poy in account of (50.300 - 54.756.300 -0.2260-22.00 Therefore, the receive marginal Rate of returning in continually inccount $1424 - $5.000.000 --07162-7151
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