Question
Suppose that Tesla stock is currently selling at $266.37 per share. For each of the following situations (ignoring brokerage commissions), calculate the gain or loss
Suppose that Tesla stock is currently selling at $266.37 per share. For each of the following situations (ignoring brokerage commissions), calculate the gain or loss that Olivia Crowe realizes if she makes a 100-share transaction. (Enter all losses as negative numbers.)
a. She sells short and repurchases the borrowed shares at $298.09 per share.
b. She takes a long position and sells the stock at $298.09 per share.
c. She sells short and repurchases the borrowed shares at $241.92 per share.
d. She takes a long position and sells the stock at $241.92 per share.
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