2 3 Ad 4 Ad 5 Ad 1. You want to invest $23,000 into the stock market. Using the table below, what amount of commission do you owe your broker? Market Value Commission (percent and fee) 6 Ad $100 to $400 7 Alc 8 Co $400 to $2,400 9 Cu 10 Di 11 Di 12 Ele 5% + $10 2% +$20 $2,400 to $5,000 1% + $30 $5,000 and above 1/2% + $40 13 En 14 Es 15 Eu You owe your broker: $ I 16 Ex

2 3 Ad 4 Ad 5 Ad 1. You want to invest $23,000 into the stock market. Using the table below, what amount of commission do you owe your broker? Market Value Commission (percent and fee) 6 Ad $100 to $400 7 Alc 8 Co $400 to $2,400 9 Cu 10 Di 11 Di 12 Ele 5% + $10 2% +$20 $2,400 to $5,000 1% + $30 $5,000 and above 1/2% + $40 13 En 14 Es 15 Eu You owe your broker: $ I 16 Ex

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Y6 Consider a stock priced at $40 that pays an annual dividend of $ 1 per share. An investor purchases the stock on margin, paying $20 per share and borrowing the remainder from the brokerage firm at 10 percent annual interest. a. If, after one year, the stock is sold at a price of $60 per share, what is the return on the stock? b. If investors had used only personal funds rather than borrowing funds, what would have been the stock return?
Ma3. Question 7 The PX exchange uses maker/taker pricing: orders that add liquidity receive a rebate of $0.001 per share; orders that take liquidity pay $0.002 per share. Sam just entered an order to buy 100 shares limit $20. This order goes into the book. Shortly thereafter Mona enters an order to sell 100 shares, limit $19. a. What is the price paid by Sam net of maker-taker pricing? b. What is the price received by Mona net of maker-taker pricing?
S2.9978 QUESTION 10 What are the trades that you need to execute in order to profit from the arbitrage opportunity? O Sell the call, buy the put, short the stock and invest $98.5 for 5 months at 3%. O Buy the call, sell the put, buy the stock and borrow $98.5 for 5 months at 3%. O Buy the call, sell the put, short the stock and invest $98.5 for 5 months at 3%. O Sell the call, buy the put, buy the stock and borrow $98.5 for 5 months at 3%. O No arbitrage profit exists because the call is properly valued. QUESTION 11 6.6 A European put option with strike $100 expiring in 5 months is priced at $3.15. The underlying is a dividend paying stock, currently priced at $103.55. The stock is expected to pay dividends of $0.85 in 2 and 6 months. The risk-free rate is 3% per year. What is the price of a 5 month European call option with strike $100? O $4.6035 O $7.0965 O $3.7469 O $5.4409 O $1.8337 6,67 po QUESTION 12 Click Save and Submit to save and submit. Click Save All Answers to save all…
Economics the answer must be clear and need typed answer What is the rate of return when 10 shares of Stock A, purchased for $30/share, are sold for $380? The commission on the sale is $6. Rate of Return = [?]% %3D Give your answer as a percent rounded to the nearest tenth. Enter
1:15:30 ped bok int ences Suppose that XTel currently is selling at $50 per share. You buy 700 shares using $28,000 of your own money, borrowing the remainder of the purchase price from your broker. The rate on the margin loan is 9%. Required: a. What is the percentage increase in the net worth of your brokerage account if the price of XTel immediately changes to (i) $56; (ii) $50; (ii) $44? (Leave no cells blank - be certain to enter "0" wherever required. Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.) (i) Percentage gain (ii) Percentage gain (iii) Percentage gain % % % b. If the maintenance margin is 20%, how low can XTel's price fall before you get a margin call? (Round your answer to 2 decimal places.) Price
H4 You sell short 18 shares of Wells Fargo &Co that are currently selling at $54 per share. You post the 0.56 margin required on the short sale. If your broker requires a 0.37 maintenance margin (MMR), at what stock price will you get a margin call? (You earn no interest on the funds in your margin account, and the firm does not pay any dividends.)
III.Determine the total transaction fee of each stock investment when it will be sold. Complete the table below and round off your answer to the nearest hundredths. Fees Gross Trade Amount Computation 1000 shares x P217.75 Amount P (13) less Broker's Commission Value Added Tax PSE transaction fee 0.0025 x P 217, 750 (15). (17). (19). (21). (14). (16). (18) _(20). (22), _(23). 0.12 x P 0.00005 x P Clearing Fee Sales tax 0.0001 x P 0.005 x P Total
Please help me solve question 7.2a. I able to calculate the price of the stock is $25 and dividend yield is 2%. I need help solve capital gain rate. Sh9
What rate of return should you expect to earn on an investment in the stock described below if you bought it at its current market price? Stock A Earnings: $3.00 per share Dividend: $1.50 per share Expected growth rate: 5% Current market price: $60 per share 5.0% O 10.0% O 2.5% O7.5% Ruestion 11 How did you solve the problem above? Show your work. P Type here to search mi 75
Based on the following information, what is the highest price per share you should be willing to pay for Bank D? Bank A Bank B Bank C Bank D. Shares (1000s) 641 1361 729 1180 $21.76 2) $33.19 $47.71 $54.75 $60.71 Price Net Per Share 80.85 53.57 32.20 Income (1000s) 3141 5880 2194 4342
*** 1. Ch12 Financial Planning Exercise 1 eBook Chapter 12 Financial Planning Exercise 1 Ranking investments by expected returns What makes for a good investment? Use the approximate yield formula or a financial calculator to rank the following investments according to their expected returns. Round the answers to two decimal places. Do not round intermediate calculations. a. Buy a stock for $45 a share, hold it for 3 years, then sell it for $80 a share (the stock pays annual dividends of $3 a share). d b. Buy a security for $20, hold it for 3 years, then sell it for $60 (current income on this security is zero). Do not round intermediate calculations. % c. Buy a 1-year, 12 percent note for $940 (assume that the note has a $1,000 par value and that it will be held to maturity). Do not round intermediate calculations. Grade it Now Save & Continue Continue without saving NOV 14 O Ctv A W MacBook Air
Margin %: Your margin account requires an initial margin of 50%, and a maintenance margin of 30%. You deposit $83,000 cash in a brokerage account and purchase stocks using all available margin and borrowing the rest from your broker. Later, the value of your stock holdings rises to $184,000. What is your percent return? O. 100.00% O. 10.84% O. 121.69% O. 21.69%

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