Question
You are a broker and have been instructed to place an order for a client to purchase 100 shares of every IPO that comes to
You are a broker and have been instructed to place an order for a client to purchase 100 shares of every IPO that comes to market. The next two IPOs are each priced at $30 a share and will begin trading on the same day. The client is allocated 20 shares of IPO A and 100 shares of IPO B. At the end of the first day of trading, IPO A was selling for $48 a share and IPO B was selling for $26 a share. What is the client's total profit or loss on these two IPOs as of the end of the first day of trading?
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Advanced Accounting
Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik
10th edition
0-07-794127-6, 978-0-07-79412, 978-0077431808
