Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Aug 28, 2024

You buy 100 shares of stock at $45 per share with initial margin of 60% and maintenance margin of 40%. Show this in a balance

You buy 100 shares of stock at $45 per share with initial margin of 60% and maintenance margin of 40%.

Show this in a balance sheet

Price=45

Total value of investment

Loan =

Equity =

Total Assets =

Liabilities + Equity=

What would happen if the price rises to $55?

Price=55

Total value of investment

Loan =

Equity =

Total Assets =

Liabilities + Equity=

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Institutions Management

Authors: Anthony Saunders

3rd Edition

007303259X, 978-0073032597

More Books

Students also viewed these Finance questions

Question

★★★★★

Calculate the pH of 5.0 10-8 M HNO3.

Answered: 1 week ago

Question

★★★★★

Mark's Consulting experienced the following transactions for Year 1, its first year of operations, and Year 2. Assume that all transactions involve the receipt or payment of cash. Transactions for...

Answered: 1 week ago

Question

★★★★★

As you plan for similar possibilities in the future, what online or hybrid strategies, resources, assignments, or assessments would you incorporate into your curriculum for the year?

Answered: 1 week ago

Question

★★★★★

DryIce Inc., is a manufacturer of air conditioners that has seen its demand grow significantly. The company anticipates nationwide demand for the next year to be 180,000 units in the South, 120,000...

Answered: 1 week ago

Question

★★★★★

President Company purchased merchandise from Captain Corporation on September 30, 2024. Payment was made in the form of a noninterest bearing note requiring President to make annual payments of 6,000...

Answered: 1 week ago

Question

★★★★★

Capital assets - definition

Answered: 1 week ago

Question

★★★★★

What is the probability that the first DVD taken from Roger's pack is defective? Unfortunately for Roger, the first DVD he chooses is defective! What is the probability that the DVD came from the...

Answered: 1 week ago

Question

★★★★★

1. Read the short story below. Crunchy TacoPotato. Paneer (cheese) and Potato Burritos.1 These names may sound strange unless you're a customer at a Taco Bell restaurant in India. Yum Brands Inc....

Answered: 1 week ago

Question

★★★★★

LLL Avionics Ltd. has contacted your accounting firm to inquire about the cost of an external audit. The company's president explained that he feels that the previous auditor charged too much and...

Answered: 1 week ago

Question

★★★★★

Sample number Data 1 74.030 74.002 74.019 73.992 74.008 2 73.995 73.992 74.001 74.011 74.004 3 73.988 74.024 74.021 74.005 74.002 4 74.002 73.996 73.993 74.015 74.009 5 73.992 74.007 74.015 73.989...

Answered: 1 week ago

Question

★★★★★

Corporations providing products and/or services are made up of many parts. There is accounting, marketing, as well as operations (and other groups too). How might these three groups integrate (or...

Answered: 1 week ago

Question

★★★★★

9. Explain the relationship between identity and communication.

Answered: 1 week ago

Question

★★★★★

a. How do you think these stereotypes developed?

Answered: 1 week ago

Question

★★★★★

a. How many different groups were represented?

Answered: 1 week ago

Previous Question Next Question