Broker initial margin requirement

Assignment Help Business Economics
Reference no: EM132119193

You are berish on telecom and decide to shell short 100 shares at the current market price of $31 per share.

a. How much in cash or securities must you put into your brokerage if the broker initial margin requirement is 50% of the short position?

b. How high can the price of the stock go before you get a margin call if maintenance is 30% of the value short position?

Reference no: EM132119193

Questions Cloud

Construct a strategic marketing plan : Analyze marketing decision support systems and their impact upon marketing management systems. Construct a strategic marketing plan.
Identify three principles of leadership : The program's content included information about how to set goals, measure results, and develop employees, as well as about leadership skills.
What are the markup percentages for total variable costs : If management desires a 11 percent rate of return on total assets, what are the markup percentages for total variable costs
Having what amount? today : a. Having $500 today is equivalent to having what amount in one? year? b. Having $ 500 in one year is equivalent to having what amount? today?
Broker initial margin requirement : How much in cash or securities must you put into your brokerage if the broker initial margin requirement is 50% of the short position?
Discuss driving forces or macro environmental trends : The use of research and concrete examples are critical to demonstrate how these trends are creating growth opportunities or threats to future growth.
Calculate the taxable income : Karen, a married woman with four exemptions, earns $2,000 per biweekly payroll. Calculate the taxable income when qualified health care deductions are involved
Why does markets sometimes fail to allocate resources : Why does markets sometimes fail to allocate resources efficiently, government policies can potentially improve the market's allocation
Describe the risks and benefits with leading the market : The purpose of this assignment is to choose a compensation philosophy that is appropriate for your chosen firm and articulate a rationale for this selection.

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd