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Effective annul rate which part I did wrong The price of Walmart stock is currently $31.3 and you decide to buy 150 shares on margin.
Effective annul rate which part I did wrong
The price of Walmart stock is currently $31.3 and you decide to buy 150 shares on margin. The inital margin is 60% and the broker's maintenance margin is 50%. The broker charges an effective interest rate of 3% on the margin loan. Part 3 Attempt What is your effective annual return? 11. Initial Maysit (the mush Maxcangrmenc) =31.315060%(160%) =2 7 1878 Stock volve (new) : 15028.24=4236 Equityralve (nem) 42361878=2358 % Margin(rem): TotalEqrity=42362358=0.556657 loss on acconnt Value =4326={2817+1878)Initial1Mavart369=31.315060%=2817 Dividend 1.5150=225 Effective amol retwon =[1+InitialManginCossonAlaweValue+D1ideads]3121 =[1+2817369+225]41 =(1.05718)41=094882 =0.22069 The price of Walmart stock is currently $31.3 and you decide to buy 150 shares on margin. The inital margin is 60% and the broker's maintenance margin is 50%. The broker charges an effective interest rate of 3% on the margin loan. Part 3 Attempt What is your effective annual return? 11. Initial Maysit (the mush Maxcangrmenc) =31.315060%(160%) =2 7 1878 Stock volve (new) : 15028.24=4236 Equityralve (nem) 42361878=2358 % Margin(rem): TotalEqrity=42362358=0.556657 loss on acconnt Value =4326={2817+1878)Initial1Mavart369=31.315060%=2817 Dividend 1.5150=225 Effective amol retwon =[1+InitialManginCossonAlaweValue+D1ideads]3121 =[1+2817369+225]41 =(1.05718)41=094882 =0.22069 Step by Step Solution
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