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Michael purchased 400 shares of $125 stock. His sister Michelle bought 400 shares of the same stock using 60% margin. The stock rose to $200.
Michael purchased 400 shares of $125 stock. His sister Michelle bought 400 shares of the same stock using 60% margin. The stock rose to $200. Ignore trading and interest costs
- What was the capital gain?
- What was Michaels return on equity in percent?
- What was Michelles return on equity in percent?
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Parimutuel Applications In Finance New Markets For New Risks
Authors: Ken Baron, Jeffrey Lange
1st Edition
1403939500, 9781403939500
