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please show all calculations needed Donald Glover opens a brokerage account and purchases 450 shares of Paperboy Inc at $34 per share. He borrows $6,000
please show all calculations needed
Donald Glover opens a brokerage account and purchases 450 shares of Paperboy Inc at $34 per share. He borrows $6,000 from her broker to help pay for the purchase. The interest rate on the loan is 9%. 10pts a. What is the margin in Donald's account when he first purchases the stock? b. If the share price falls to $24 per share by the end of the year, what is the remaining margin in his account? C. If the maintenance margin requirement is 30%, will he receive a margin call? d. If he does not receive a margin call in c above, what price does Paperboy need to fall to in order to receive a margin call? e. What is the rate of return on his investment Step by Step Solution
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