What is the maximum dollar purchase you can make

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Reference no: EM131954878

You have $12,000 and decide to invest on margin. If the initial margin requirement is 55 percent, what is the maximum dollar purchase you can make? with explain please.

Tom Jones has a savings account that just paid a $400 annual dividend. If the declared interest rate is 5%, how much is on deposit?

a. $ 2,000

b. $20,000

c. $ 8,000

d. $12,000

Please show work of computation

2. A 20-year-old building is estimated to have a total economic life of 50 years. How much is the value loss?

a. 50%

b. 40%

c. 80%

d. 4/7

Please show work to solutio

Reference no: EM131954878

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