Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
The current market price for XYZ is $15 per share. Initial margin is 50%, maintenance margin is 35% and margin interest is 1.25% per year. 2.A.1) You believe the stock price will increase over the next year and wish to trade exactly one round lot. What trade should you make? How much margin would you have to post to your account (4 points)? At what price would you receive a margin call? 2.A.2) Suppose you are correct and the stock rises to $19 per share at the end of the year. What is your percentage return on equity for this trade? 2.B. The current market price for ABC is $77 per share. Initial margin is 50%, maintenance margin is 35% and there is no margin interest. 2.B.1) You believe the stock price will decrease over the next year and wish to trade exactly one round lot. What trade should you make? How much margin would you have to post to your account? At what price would you receive a margin call? 2.B.2) Suppose you are correct and the stock falls to $70.50 per share at the end of the year. What is your percentage return on equity for this trade?
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd