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3 years ago

9

A customer opens a short margin account by selling short 600 shares of XYZ stock at $80 per share and deposits the required marg

in. If the stock declines in value by 25%, the customer's equity in the account will:

1 answer:

astra-53 [7]3 years ago

4 0

Answer:

It will increase by 50%

Explanation:

Equity is given as: credit - short market value.

Find attached below table of solution

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3 years ago

Firm X is being acquired by Firm Y for $35,000 worth of Firm Y stock. The incremental value of the acquisition is $2,500. Firm X

UkoKoshka [18]

Answer:

$34,789

Explanation:

Worth of stocks = $35,000

Incremental value of the acquisition = $2,500

Stock outstanding of Firm X = 2,000

Price per share of Firm X = $16

Stock outstanding of Firm Y = 1,200

Price per share of Firm Y = $40

Now,

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