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
kogti [31]
3 years ago
15

A customer opens a long margin account with only 1 position, consisting of 100 shares of ABC stock valued at $20 per share. Ther

e is no debit balance in the account. If the customer buys 100 shares of XYZ at $60 per share, the margin call will be
Business
1 answer:
Grace [21]3 years ago
7 0

Answer:

The margin call will be $6,000.

Explanation:

Since there is no debit balance in the customer's margin account, it implies that the customer is not owing the broker on margin.  The additional purchase of the 100 shares of XYZ necessitates the margin call by the broker for the customer to fund his margin account by paying additional funds worth $6,000 to cover the purchase of XYZ shares by the broker on his behalf.

A margin account is an account maintained by a broker on behalf of his customer through which the customer is able to buy and sell securities using his own funds and the broker's.  The implication is that the customer's equity in the account is equal to the market value of the securities minus the borrowed funds from the broker.

You might be interested in
In many businesses, people are inundated with email messages, voicemails, documents, and reports. what is a good way to cut thro
LenKa [72]

Managers receive a tonne of voicemails, faxes, snail mail, and emails every day. If data were the currency of contemporary commerce. You will learn how to write persuasive business messages in this course. Effective communication aids in change adaptation. Influencers are compensated by a brand to post content about it, whether it be using, displaying, or discussing the product. When their devoted fans interact with such material, your marketing reach increases. Read the email letter to Kate Newcomber, sages, and then respond to the corresponding open-ended dialogues in an informal environment. Email offers a number of benefits, including clear and direct relationships and significant privacy.

To learn more on email messages

brainly.com/question/21604006

#SPJ4

3 0
2 years ago
Which is the process used to determine the profitability of a product at various levels of sales. cost-based pricing break-even
Sauron [17]
Break-even analysis is the process used to determine the profitability of a product at various levels of sales. 
8 0
4 years ago
situation: flavio's organic construction company built a commercial building of entirely plant-based materials. unfortunately, t
Ghella [55]

According to the cost of poor quality, this cost belongs to Internal failure cost which is associated with product failures.

What is Internal failure costs?

Internal failure costs are quality expenses related to product defects found before a product leaves the facility. The firm's internal inspection procedures help identify these shortcomings. Failure analysis activities, product rework expenses, product scrapped, and throughput lost are a few examples of internal failure costs. Internal failure costs result from defects found prior to delivery. These cover all expenses incurred as a result of failing to satisfy both internal and external consumers.

To know more about Internal failure costs refer:

brainly.com/question/7348888

#SPJ4

4 0
1 year ago
A bank tells you that if you increase your credit score by 50 points, it will reduce your interest rate on your $10,000 car loan
Stels [109]

Answer:

Option (c) $100

Explanation:

Data provided in the question:

Amount of car loan = $10,000

Now,

With increase of 50 points of credit score, the interest rate reduces by 1 percent

Therefore,

The amount of saved  for the first year i.e for 1 year will be calculated using the formula

Interest  = Principle × Rate × Time

Interest  = $10,000  × 1% × 1

= $10,000  × 0.01 × 1

= $100

Hence,

Option (c) $100

4 0
3 years ago
Describe the difference between an idea and a business opportunity.
Eduardwww [97]
An idea isn’t really a proven concept, while a business opportunity is a proven concept you’ll likely make more money or whatever having a business opportunity.
3 0
3 years ago
Other questions:
  • On January 1, 2018, Gemini Corporation leased equipment under a finance lease designedto earn the lessor a 12% rate of return fo
    9·1 answer
  • If the market rate of interest is 8%, a $50,000, 7%, 20-year bond that pays interest semiannually would sell at an amount
    7·1 answer
  • The term​ "crowding out" refers to a situation​ where: A. Fed policy increases interest rates and decreases private investment.
    7·2 answers
  • Fischer Inc. provides the following information for the year: Actual variable overhead cost per unit of cost-allocation base $18
    15·2 answers
  • A consumer is persuaded to buy a product by a message that requires little thought and is based on an association with a brand's
    6·1 answer
  • In the current year, Azure Company has $350,000 of net operating income before deducting any compensation or other payment to it
    5·1 answer
  • Complete problem: Total Net Operating Capital XYZ, Inc. reported $20 million in operating current assets, $25 million in net fix
    9·1 answer
  • Lucia Alunnio’s bank granted her a single-payment loan of $5,000 for 100 days at 6.5 percent exact interest. What is the
    5·1 answer
  • AirQual Test Corporation provides on-site air quality testing services. The company has provided the following cost formulas and
    8·1 answer
  • g had reported a deferred tax asset of $130 million with no valuation allowance. At December 31, 2021, the account balances of R
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!