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1 year ago

You opened several accounts with XYZ broker. Which of

Business

1 answer:

Ugo [173]1 year ago

5 0

The same people own both your individual margin account and your individual portfolio margin account.

<h3>What exactly is a personal margin account?</h3>

A "margin account" is a specific kind of brokerage account where its broker-dealer lends the user money to buy securities while using the account as collateral. While margin increases an investor's purchasing power, it also puts them at greater risk of suffering greater losses.

<h3>Are margin accounts suitable for novices?</h3>

Since it's not always obvious what amount you've received from you firm and how much you have in equity, as well as the fact that it's simple to consider with all your investments as your money even if a lot of it is borrowed, it's best to avoid selling on margin, especially for new investors.

To know more about Individual Margin Account visit :

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Roughly what percent of japan is mountainous? select one:

aivan3 [116]

Its D because 73% of Japan is covered by mountains

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3 years ago

Why wouldn't investors invest all of their money in software companies instead of in less profitable companies? (Focus on risk

Tamiku [17]

Answer and Explanation:

Risk and return are equal companions if we invest in a market with a higher risk that's mean this type of market provides a higher return.

If Investors invest their whole money in the high-risk market for there high return, may they get a huge loss.

So, The exposure must be balanced by investments in diversified markets with different risk weights.

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3 years ago

You are planning to buy 2019 MINI Cooper on a loan. Price of the car is $26,000. You are planning to make monthly payments for t

Sergeu [11.5K]

Answer:

$1,223.91

Explanation:

As per the concept of time value of money, the value of money today is more than the value of money tomorrow.

Given:

Price of car = $26,000

Interest rate 12%, compounded monthly

Tenure = 2 years

Now, Price of the car is the value of money today to purchase the car. So, while computing the monthly payment for car $26,000 will be considered as present value.

Monthly payment for car can be computed easily using Microsoft excel.

Use the following mentioned formula to calculate the monthly payment.

"=PMT(rate,nper,pv,[fv])"

wherein,

Rate = 12%/2 (because it has been compounded monthly)

nper = 2*12 (because 2 years are to be compounded monthly.)

Pv = $26,000 (as mentioned earlier)

Since, there is no Fv so it blank.

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3 years ago

Effective corporate governance is essential in large corporations because corporate ownership (by shareholders) is separated fro

nalin [4]

Answer:

False

Explanation:

Outside directors are members of the board of directors that are not employees of the corporation. While an inside director is a member of the board that is also employed by the corporation, e.g. CEO.

Corporations are separate entities form their stockholders, that is why limited liability applies to them. The board of directors doesn't have to include stockholders or employees, they usually do, but it is not required by law. Outside directors should very experienced and capable individuals that possess certain expertise that can help the corporation. Also, the board should control and supervise upper management, but if only inside directors were admitted into it, then who would control them?

7 0

3 years ago

Read 2 more answers

The free cash flow to the firm is reported as $205 million. The interest expense to the firm is $22 million. If the tax rate is

Sergeu [11.5K]

Answer:

The correct answer is $2,444.6 billion

Explanation:

FCFE= FCF+ Increase in debt- Interest (1-t)

= $205+$25-$22( 1-0.35)

=$215.7

Market Value = [(215.7)1.02)]/ [11%-2%]

=$2,444.6

Assuming a single period growth rate of 2%,

the forecasted FCFE =$215.7(1+0.02)

=$220.01 billion

Although this is not available in the options provided ,$220.01 billion is the correct answer.

4 0

3 years ago