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please read above data and answer Q.9 and Q.10 ASAP... I'll give you up thumb definitely At the T. Rowe Price Trading Desk (B) Tuesday,
please read above data and answer Q.9 and Q.10 ASAP... I'll give you up thumb definitely
At the T. Rowe Price Trading Desk (B) Tuesday, August 21, 1984 12:21 p.m. Greg: (in response to Michael's offer of $231/2 for Avantek and $15/4 for Tandem): "OK on Tandem, but my lowest on Avantek is $24." Michael: "OK." 285-042 At the T. Rowe Price Trading Desk (B) Exhibit 1 Avantek Trade on August 21, 1984, 12:21 p.m.-Market Close Time Price Shares (100s) 12:22 12:23 12:23 12:23 12:50 1.23 1:46 1:48 1:51 2:07 2:10 2:20 2:38 2:39 2:39 2:57 3:00 3:01 3:05 3:08 3:15 3:15 3:16 3:39 3:59 24 34 24 24 1/8 24 14 24 7/8 24 7/8 24 7/8 24 1/8 24 34 24 5/8 24 5/8 24 5/8 24 5/8 24 5/8 24 34 24 7/8 24 5/8 24 7/8 24 34 24 12 24 12 24 34 24 34 24 34 24 12 125 1,830 1,000 100 2 3 1 21 30 1 5 1 10 8 30 1 1 10 5 5 4 300 1 10 2 Exhibit 2 Tandem Trades on August 21, 1984, 12:21 p.m.Market Close Time Price Shares (100s) Time Price Shares (100s) 12:21 12:22 12:22 12:23 12:27 12:29 12:30 12:36 12:43 12:46 12:52 12:59 1:00 1:01 100 1:02 1:02 1:04 1:05 1:05 1:15 1:24 1:26 1:29 1:29 1:30 1:33 1:33 1:38 1:43 1:47 1:48 1:48 1:49 1:53 1:56 2:01 2:04 2:06 2:06 2:06 2:10 2:13 2:15 2:16 2:17 2:17 15 15 15 1/4 15 1/8 15 1/2 15 15 1/8 15 1/8 15 15 1/8 15 15 1/8 15 1/8 15 1/8 15 1/8 15 1/8 15 1/8 15 1/4 15 1/8 15 1/4 15 1/4 15 1/8 15 1/8 15 1/8 15 15 15 1/8 15 1/8 15 1/8 15 1/8 15 1/8 15 15 1/8 15 15 1/8 15 15 15 1/4 15 1/8 15 1/8 15 15 1/8 15 1/8 15 15 15 2,000 1,350 3,200 7 1 2 1 10 3 10 1 5 5 10 10 20 5 5 5 2 2 5 1 25 19 15 1 2 4 13 2 51 1 60 1 2 9 30 4 4 9 50 2 1 5 5 2:17 2:17 2:21 2:24 2:26 2:27 2:32 2:33 2:33 2:35 2:40 2:43 2:44 2:44 2:44 2:45 2:45 2:53 2:57 2:57 2:58 3:02 3:05 3:06 3:09 3:10 3:11 3:11 3:11 3:11 3:13 3:13 3:14 3:17 3:21 3:22 3:28 3:33 3:38 3:41 3:47 3:50 3:54 3:56 3:56 3:58 15 15 15 15 15 1/8 14 7/8 15 15 15 14 7/8 14 7/8 15 15 15 15 1/8 15 1/8 15 1/8 14 7/8 14 7/8 14 7/8 15 1/8 14 5/8 15 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 15 14 7/8 15 15 15 14 7/8 14 7/8 15 15 15 14 7/8 15 14 7/8 15 15 8 8 88 8 5 8 8 8 8 250 Exhibit 3 Performance of Various Stock Indexes on August 21, 1984 Dow Jones Industrials +1.87% S&P 500 +1.75% Wilshire 500 +1.56% Computer Technology Index +2.34% New Horizons Fund +1.23% QUESTION 9 1. What would be the most likely fair value during that period for Tandem that would make sense to Goldman? A. 15 B. 15 14 C. 152 D. 14 7/8 10 points QUESTION 10 1. Kidder provides research for T Rowe Price for nothing. Why they want to do that? Relationship building Use false information or rumors to mislead T Rowe Price traders Influence T Rowe Price traders to trade in the direction that Kidder wants At the T. Rowe Price Trading Desk (B) Tuesday, August 21, 1984 12:21 p.m. Greg: (in response to Michael's offer of $231/2 for Avantek and $15/4 for Tandem): "OK on Tandem, but my lowest on Avantek is $24." Michael: "OK." 285-042 At the T. Rowe Price Trading Desk (B) Exhibit 1 Avantek Trade on August 21, 1984, 12:21 p.m.-Market Close Time Price Shares (100s) 12:22 12:23 12:23 12:23 12:50 1.23 1:46 1:48 1:51 2:07 2:10 2:20 2:38 2:39 2:39 2:57 3:00 3:01 3:05 3:08 3:15 3:15 3:16 3:39 3:59 24 34 24 24 1/8 24 14 24 7/8 24 7/8 24 7/8 24 1/8 24 34 24 5/8 24 5/8 24 5/8 24 5/8 24 5/8 24 34 24 7/8 24 5/8 24 7/8 24 34 24 12 24 12 24 34 24 34 24 34 24 12 125 1,830 1,000 100 2 3 1 21 30 1 5 1 10 8 30 1 1 10 5 5 4 300 1 10 2 Exhibit 2 Tandem Trades on August 21, 1984, 12:21 p.m.Market Close Time Price Shares (100s) Time Price Shares (100s) 12:21 12:22 12:22 12:23 12:27 12:29 12:30 12:36 12:43 12:46 12:52 12:59 1:00 1:01 100 1:02 1:02 1:04 1:05 1:05 1:15 1:24 1:26 1:29 1:29 1:30 1:33 1:33 1:38 1:43 1:47 1:48 1:48 1:49 1:53 1:56 2:01 2:04 2:06 2:06 2:06 2:10 2:13 2:15 2:16 2:17 2:17 15 15 15 1/4 15 1/8 15 1/2 15 15 1/8 15 1/8 15 15 1/8 15 15 1/8 15 1/8 15 1/8 15 1/8 15 1/8 15 1/8 15 1/4 15 1/8 15 1/4 15 1/4 15 1/8 15 1/8 15 1/8 15 15 15 1/8 15 1/8 15 1/8 15 1/8 15 1/8 15 15 1/8 15 15 1/8 15 15 15 1/4 15 1/8 15 1/8 15 15 1/8 15 1/8 15 15 15 2,000 1,350 3,200 7 1 2 1 10 3 10 1 5 5 10 10 20 5 5 5 2 2 5 1 25 19 15 1 2 4 13 2 51 1 60 1 2 9 30 4 4 9 50 2 1 5 5 2:17 2:17 2:21 2:24 2:26 2:27 2:32 2:33 2:33 2:35 2:40 2:43 2:44 2:44 2:44 2:45 2:45 2:53 2:57 2:57 2:58 3:02 3:05 3:06 3:09 3:10 3:11 3:11 3:11 3:11 3:13 3:13 3:14 3:17 3:21 3:22 3:28 3:33 3:38 3:41 3:47 3:50 3:54 3:56 3:56 3:58 15 15 15 15 15 1/8 14 7/8 15 15 15 14 7/8 14 7/8 15 15 15 15 1/8 15 1/8 15 1/8 14 7/8 14 7/8 14 7/8 15 1/8 14 5/8 15 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 15 14 7/8 15 15 15 14 7/8 14 7/8 15 15 15 14 7/8 15 14 7/8 15 15 8 8 88 8 5 8 8 8 8 250 Exhibit 3 Performance of Various Stock Indexes on August 21, 1984 Dow Jones Industrials +1.87% S&P 500 +1.75% Wilshire 500 +1.56% Computer Technology Index +2.34% New Horizons Fund +1.23% QUESTION 9 1. What would be the most likely fair value during that period for Tandem that would make sense to Goldman? A. 15 B. 15 14 C. 152 D. 14 7/8 10 points QUESTION 10 1. Kidder provides research for T Rowe Price for nothing. Why they want to do that? Relationship building Use false information or rumors to mislead T Rowe Price traders Influence T Rowe Price traders to trade in the direction that Kidder wantsStep by Step Solution
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