+1-415-670-9189
info@expertsmind.com
What is the new percentage margin
Course:- Financial Management
Reference No.:- EM13885193




Assignment Help
Expertsmind Rated 4.9 / 5 based on 47215 reviews.
Review Site
Assignment Help >> Financial Management

The price of Apple Stock is currently $95.04 and you decide to sell short 600 shares.

a. the initial margin is 60%. How much do you have to contribute at least to the account?

b. If the price rises to $107.23, what is the new percentage margin?

c. If the broker's maintenance margin is 40%. What is the maximum value the stock price can take before you are issued a margin call?




Put your comment
 
Minimize


Ask Question & Get Answers from Experts
Browse some more (Financial Management) Materials
You have just purchased an investment that generates the following cash flows for the next four years. You are able to reinvest these cash flows at 8.4 percent, compounded ann
L.A. Clothing has expected earnings before interest and taxes of $1,800, an unlevered cost of capital of 12 percent and a tax rate of 33 percent. The company also has $2,500 o
We use no arbitrage to calculate implied forward rates from the spot curve. What does mean when we say that implied forward rates are breakeven rates? What do we use implied f
What are the most important things you are taking from this course that will shape your future and enable you to make a positive difference? All components of this Assignment
Zoso is a rental car company that is trying to determine whether to add 25 cars to its fleet. The company fully depreciates all its rental cars over four years using the strai
Suppose that the market can be described by the following three sources of systematic risk with associated risk premiums. The return on a particular stock is generated accordi
You need to save $50,000 in 10 years from today. You want to make annual payments at the end of each year into a sinking fund that will earn interest at an annual rate of 10 p
A constant growth stock just paid a dividend of $1.9 and has a growth rate of 4.6%. The required rate of return on the stock is 12.6%. The stock's dividend yield in the curren