Here is some price information on FinCorp stock. Suppose that FinCorp trades in a dealer market.You are bullish on Telecom stock. The current market price is $$50$ per share, and you have $$5,000$ of your own to

invest. You borrow an additional $$5,000$ from your broker at an interest rate of $8\%$ per year and invest $$10,000$ in

the stock.

a$.$ What will be your rate of return if the price of Telecom stock goes up by $10\%$ during the next year? The stock

currently pays no dividends.

b$.$ How far does the price of Telecom stock have to fall for you to get a margin call if the maintenance margin is

$30\%?$ Assume the price fall happens immediately.

a$.$ Suppose you have submitted an order to your broker to buy at market. At what price will your trade be

executed?

b$.$ Suppose you have submitted an order to sell at market. At what price will your trade be executed?

c$.$ Suppose you have submitted a limit order to sell at $$55\mathrm{.}62.$ What will happen?

d$.$ Suppose you have submitted a limit order to buy at $$55\mathrm{.}37.$ What will happen?