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!
Suppose that you sell short 500 shares of XTel, currently selling for $40 per share, and give your broker 15 000$ to establish your margin account.
a) If you earn no interest on the funds in your margin account, what will be your rate of return after one year if XTel stock is selling at (i) 44$, (ii) 40$, (iii) 36$ ? Assume that XTel pays no dividends.
b) If the maintenance margin is 25%, how high can XTel price rise before you get a margin call ?
c) Redo parts (a) and (b) , but now assume that XTel also has paid a year-end dividend of 1$ per share. The price in part (a) should interpreted as ex-dividend, that is prices after the dividend has been paid.
Nathan is purchasing a desktop workstation to do modeling and simulations. He has specified a computer with a list price of $8650, and is being offered either a 10/5/5 trade discount series, or a 5/8/8 trade discount series. Which is the better deal?..
Consider the following information: Rate of Return If State Occurs State of Probability of Economy State of Economy Stock A Stock B Stock C Boom .15 .39 .49 .29 Good .55 .15 .20 .08 Poor .25 −.01 −.09 −.07 Bust .05 −.20 −.24 −.10 a. Your portfolio is..
Please provide a thorough discussion on the different bond features someone might consider pref. For example, some bonds are tax free (municipal bonds), some are insured. Of course there is a trade off between risk and return. Do you think that there..
Interest is paid annually; they have a $1,000 par value; the coupon interest rate is 10% and yield to maturity is 8%. What is the bond's current market price?
What are the three “private” revenue sources used by government? What are the pros and cons of each method?
If the required return on the stock is 9 percent, what is the current share price?
Billy’s Exterminators, Inc., has sales of $595,000, costs of $290,000, depreciation expense of $42,000, interest expense of $31,000, a tax rate of 35 percent, and paid out $42,300 in cash dividends. The firm has 94,000 shares of common stock outstand..
The risk-free rate of return is 4.2 percent and the market risk premium is 11 percent. What is the expected rate of return on a stock with a beta of 1.8?
Calculate the following time value of money figures. Calculate the present value of company based on the given interest rate and expected revenues over time.
The Spenz Corporation has just made a big profit and wants to pay its insurance for three years in advance while it has the money to do so. Previously, Spenz has paid $100 in premiums quarterly. Assuming a compound interest rate of 10%, what single s..
_____ consist(s) of deposits at the Fed plus currency that is physically held by banks and _____ are regulations making it obligatory for depository institutions to keep a certain fraction of their deposits as reserves with the Fed.
The Proctor Company must arrange $235,000 financing for its working capital requirements for the coming year. Proctor can (a) borrow from its bank on a simple interest basis (interest payable at the end of the loan) for one year at 7.8 percent simple..
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