Please show work for Question 5 thru 8. Notice the rules at the top of the page. Thanks!

8. R. o. How do financial institut ons evaluate the creditworthiness of potential borrowers? a. They offer high interest rates because only the best borrowers will e able to afford them. b,They gather information regarding the borrowers' finances. c. They do not evaluate cred tworthiness because everyone is treated the same ey do not evaluate the creditworthiness because they know the borrower will honor his/her obligation to repay th a loan. PART 2 (105 Points) In each of the following probliams delemine: 111 the profit or loss; (2) the amount invested (did you buy the on your funds. This applies fo r questions 1 thru 7-3 pointseach) estock on m gin, cr did you put up the full price; (3) the percentage return 1. You buy a stock for $200 and sel it for $280: what is the percent return? .Yu buy a stock for $2 and sell it for $120; what is the percent return? 8. You buy a stock for $210 and sel il for $280; what is the percent returrn if the margin requirement is 40 percent? 4. You buy a stock for $200 and sell t for $120; what is the percent return if the margin requirement is 40 percent? 5. You buy a stock for $21.0 and sell it or $280; what is the percent return if the margin requirement is 40 percent, and the interest rate of the borrowed funds is 10 percent? What is the impact on your relurn? 6. You sell a stock short fr $200, and repurchase it for $280; what is the percent return? ri 7. You sell a stock short fer $200 and repurchase it for $120; What is the percentage return? The dollar cost of the E ropean Euro is $1.25. (a) you are planning a trip to Europe and read that the hotel charges are 130 euros per night. What is the cost to you in dollars? (b) You dollar vwill buy how many euros? (c) After completing your trip you 8. bae ha have 120 euros that you have ieft and want to convert back to dollars. How many dollars will you receive? points) 9. What is the nation's trade balance on its current account and capital account given the folowing information? Is the nation experiencing a cash inflow (outflow) on its current account and its capital account? Was there a net currency inflow or outflow