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Please show all the workings Question: Assume that you want to purchase 4 round lot shares of GP. The current share price of GP is
Please show all the workings
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Assume that you want to purchase 4 round lot shares of GP. The current share price of GP is $56. Your initial margin is 65%. Maintenance margin is 27%. GP pays half yearly dividend of $1 per share. For the borrowed amount you have to pay interest of 7% per annum. After 3 month you want to sell the shares for $62.
Find out transaction cost, equity and borrowed amount. Transaction cost = 24,800; Equity = 16,120; Borrowed Amount = 8,680 Transaction cost = 24,800; Equity = 8,680; Borrowed Amount = 16,120 Transaction cost = 22,400; Equity = 14,560; Borrowed Amount = 7,840 Transaction cost = 22,400; Equity = 7,840; Borrowed Amount = 14,560 After 3 days of purchase if the share price increases by 5% what is the actual margin (approximate) and comment? 67.86%; Margin Account 66.67%; Restricted Account 66.66%; Excess Account 67.86%; Excess Account After 5 days of purchase if the share price decreases by $30 what is the actual margin (approximate) and comment? 37.67%; Excess Account O 24.61%; Restricted Account 37.67%; Margin Call 24.61%; Margin Call Calculate margin call price (approximate). O $76.712 $49.863 O $53.678 O $26.849
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