Suppose that Xtel currently is selling at $$72$ per share. You buy $400$ shares using $$22,000$ of your own money, borrowing the remainder of the purchase price from your broker. The rate on the margin loan is $9\%.$

a$.$ What is the percentage increase in the net worth of your brokerage account if the price of Xtel immediately changes to: $($i$)$ $$79\mathrm{.}92$; $($ii$)$ $$72$; $($iii$)$ $$64\mathrm{.}08?$ What is the relationship between your percentage return and the percentage change in the price of Xtel? $($Leave no cells blank $-$ be certain to enter $"0"$ wherever required. Negative values should be indicated by a minus sign. Round your answers to $2$ decimal places.

i$.$ Percentage gain $14\mathrm{.}40$ selected answer correct $\%$

ii$.$ Percentage gain $0$ selected answer correct $\%$

iii. Percentage gain $14\mathrm{.}40$ selected answer incorrect $\%$

b$.$ If the maintenance margin is $25\%,$ how low can Xtel$$s price fall before you get a margin call? $($Round your answer to $2$ decimal places.$)$

Margin call will be made at price $$22\mathrm{.}67$ or lower selected answer correct

c$.$How would your answer to $($b$)$ change if you had financed the initial purchase with only $$14,400$ of your own money? $($Round your answer to $2$ decimal places.$)$

Margin call will be made at price $$48\mathrm{.}00$ or lower selected answer correct

d$.$ What is the rate of return on your margined position $($assuming again that you invest $$22,000$ of your own money$)$ if Xtel is selling after $1$ year at: $($i$)$ $$79\mathrm{.}92$; $($ii$)$ $$72$; $($iii$)$ $$64\mathrm{.}08?$ What is the relationship between your percentage return and the percentage change in the price of Xtel? Assume that Xtel pays no dividends. $($Negative values should be indicated by a mi

e$.$ Continue to assume that a year has passed. How low can Xtel$$s price fall before you get a margin call? $($Round your answer to $2$ decimal places.$)$

Margin call will be made at price $$22\mathrm{.}67$ or lower selected answer incorrect