What would be the effective annual rate of return on your investment if you held the bill until maturity? A. 1.56% B. 1.65% C. 1.54% D. 1.72% What would be the effective annual rate of return on your investment if you bought this bill today and were able to sell it back to a dealer after 28 days assuming that yields do not change over time? A. 1.61% B. 0.38% C. 1.13% D. 1.52% Which of the following statements is INCORRECT about short sale A. A short sale may only take place if the last recorded price was an uptick B. Proceeds from short sales must be kept on account with the broker C. In general, a order may be placed with a short sale to limit potential losses D. There is a time limit on short sale The current dividend of MultiGrowth Inc. is $1.5, The company is expected to grow rapidly for the next 3 years at 30%, at the end of which time the new growth rate is expected to be a constant 8% a year. The required rate of return is 15%. What is the intrinsic value of the firm? A. $39.21 B. $39.50 C. $38.68 D. $39.59 Consider the following short sale example: an investor 100 shares of a stock the broker, put down 50% as the initial margin, and sells the stock at $100/share in the market. If the maintenance margin is 40%, how much can the stock price rise before the investor gets a margin call? A. 109.23 B. 107.14 C. 107.28 D. 109.05 Regarding the situation in previous question, suppose the stock price later goes up from $100/share to $150/share, put a _____ may limit the potential loss for the investor A. limit sell order at $120/share B. limit buy order at $120/share C. stop buy order at $120/share D. stop loss order at $120/share