QUESTION 1

. A margin account is used to buy 2000 shares on margin at $25 per share. $11,782 is borrowed from the broker to complete the purchase. What is the margin at the time the purchase was made?

QUESTION 2 . An investor buys a call at a premium of $3 with a strike price of $75 for stock A with a maturity of 1 month. What will be the profit for the investor in one month at stock price of $74

QUESTION 3. An investor buys a put at a premium of $5 with a strike price of $75 for stock A with a maturity of 1 month. What will be the profit for the investor in one month at stock price of $71.

QUESTION 4. An investor sells a call option at a premium pf $4 with a strike price of $54 for stock A with a 3 month maturity. Calculate the profit for the investor in three months at a stock price of $63.

show workings please