1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
kvasek [131]
3 years ago
11

Old economy traders opened an account to short sell 1,500 shares of internet dreams at $50 per share. The initial margin require

ment was 50% (pays no interest). A year later, the price of internet dreams has increased to $65 and the stock has paid a dividend of $1.50 per share.
a. What is the remaining margin in the account?
b. If the maintenance margin requirement is 30%, will old economy receive a margin call?
c. What is the rate of return on the investment
Business
1 answer:
choli [55]3 years ago
4 0
The rate of return on the investment
You might be interested in
Current disposable income held to buy consumption goods in the future is referred to as:______.
maxonik [38]

The current disposable income held to buy consumption goods in the future is referred to as saving.

Consumables are goods that are best suited for their end use. In other words, the end-user of consumer goods is the consumer themselves, and capital goods are the goods used to manufacture consumer goods.

Common examples include food, drink, clothing, shoes, and gasoline. Consumer services are usually intangible products or actions that are produced and consumed simultaneously.

Learn more about   consumption goods here

brainly.com/question/18849286

#SPJ4

3 0
2 years ago
moriband corp. paid a dividend of $2.15 yesterday. the company’s dividend is expected to grow at a steady rate of 5 percent for
BaLLatris [955]

The present market price of Moribund stock stands at $22.58.

<h3>What is market price?</h3>
  • Market value is another term for current price. It is the most recent price at which a share of stock or other security was traded. The current price serves as a baseline in an open market.
  • The market price is the current cost of purchasing or selling an asset or service. The details of supply and demand decide the market price of an investment or assistance.
  • The market price is the price at which quantity supplied equals quantity demanded.
  • The market price is the price that exists on a specific day or at a specific time. It is the result of market supply and demand. Normal prices, on the other hand, are the result of long-term demand and supply.

To learn more about market price, refer to:

brainly.com/question/14612966

#SPJ4

7 0
1 year ago
You are considering acquiring a common stock that you would like to hold for one year. You expect to receive both $1.25 in divid
Vlad1618 [11]

Answer:

The maximum that should be paid for the stock today is $30.23.

Explanation:

The total return on a stock is made up of dividend received on the stock plus the capital gain received from selling the stock. The holding period is one year that means a 10% return on the amount invested in required for one year. We need to calculate the present value of the total of selling price plus the dividend to calculate the price of the stock today. As 10% return is required, the discount rate is also 10%.

PV = (1.25 + 32) / 1.1

PV = 30.227 rounded off to 30.23

5 0
3 years ago
Which of the following statements is true in the context of selecting the best alternative? a. The decision maker can only selec
Assoli18 [71]

Answer:

d. The decision maker must only stick to completely rational, mathematical analysis while selecting an alternative.

Explanation:

It is most ideal for a decision maker to stick to completely rational way of selecting an alternative as this means that the decision maker will only make choices that will be of maximum benefits and low costs. Factors such as personal feelings, or sense of obligation do not interefere when a decision maker sticks to completely rational and mathematical analysis method of decision making.

7 0
3 years ago
A salary owed to employees is an example of an accrued expense <br> a. True <br> b. False
pogonyaev
<span>a. True

An accrued expense is an expense that exists in the books before it is paid off and it's a liability. It's a periodic and documented expense, and they are the opposite of prepaid expenses. A salary owed to employees is an example of an accrued expense.</span>
5 0
3 years ago
Read 2 more answers
Other questions:
  • Holly owns a dance studio. To improve sales of dance classes, she is reviewing how her marketing team could update the company's
    12·1 answer
  • A transfer payment is
    5·1 answer
  • Tracy's is a chain of hair dressing salons for women. they use television, magazines, radio, and newspapers to advertise their s
    9·1 answer
  • The top management of Tasty Foods, a food distribution company, has set strategic goals of increasing organizational market shar
    11·1 answer
  • On may 1, newtown motors, a used-car dealer, wrote a letter to o'reilly, which stated, "we have a 1969 pontiac firebird in mint
    14·1 answer
  • An individual investor who wishes to borrow money to buy stocks must open a A) signature account. B) margin account. C) joint ac
    15·1 answer
  • Suppose that annual output in year 1 in a 3-good economy is 3 quarts of ice cream, 1 bottle of shampoo, and 3 jars of peanut but
    15·1 answer
  • Two firms compete by advertising. Given the payoff matrix to this advertising​ game, identify each​ firm's best response to its​
    9·1 answer
  • Suppose the government launches a successful advertising campaign that convinces workers with high school degrees to quit their
    5·1 answer
  • Edison consulting received a $520 utilities bill and immediately paid it. edison's general journal entry to record this transact
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!