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You believe the price of Freeze Frame Company stock is going to fall, so you short 8 0 0 shares at a price of $
You believe the price of Freeze Frame Company stock is going to fall, so you short shares at a price of $ The initial margin is percent. Ignore dividends.
a Construct the equity balance sheet for the original trade.
Note: Input all amounts as positive values.
b Construct equity balance sheets for a stock price of $ per share.
Note: Input all amounts as positive values.
b What is your margin?
Note: Do not round intermediate calculations. Enter your answer as a percent rounded to decimal places.
b What is your effective annual return if you cover your short position at this price in three months?
Note: Do not round intermediate calculations. Enter your answer as a percent rounded to decimal places.
c Construct equity balance sheets for a stock price of $ per share.
Note: Input all amounts as positive values.
c What is your margin?
Note: Do not round intermediate calculations. Enter your answer as a percent rounded to decimal places.
c What is your effective annual return if you cover your short position at this price in three months?
Note: A negative value should be indicated by a minus sign. Do not round intermediate calculations. Enter your answer as a percent rounded to decimal places.You believe the price of Freeze Frame Company stock is going to fall, so you short shares at a price of $ The Initial margin is
percent. Ignore dividends.
a Construct the equity balance sheet for the original trade.
Note: Input all amounts as positive values.
b Construct equity balance sheets for a stock price of $ per share.
Note: Input all amounts as positive values.
b What is your margin?
Note: Do not round intermediate calculations. Enter your answer as a percent rounded to decimal places.
Margin
b What is your effectlve annual return if you cover your short position at this price in three months?
Note: Do not round intermediate calculations. Enter your answer as a percent rounded to decimal places.
c Construct equlty balance sheets for a stock price of $ per share.
Note: Input all amounts as positive values.
c What is your margin?
Note: Do not round intermediate calculations. Enter your answer as a percent rounded to decimal places.
Margin
What is your effectlve annual return if you cover your short position at this price in three months?
Note: A negative value should be indicated by a minus sign. Do not round intermedlate calculations. Enter your answer as a
percent rounded to decimal places.
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