What is the rate of return on her investment what is the


Dee Trader opens a brokerage account and purchases 400 shares of Internet Dreams at $22 per share. She borrows $3,600 from her broker to help pay for the purchase. The interest rate on the loan is 8%. a. What is the margin in Dee’s account when she first purchases the stock? Margin $ 5200 b-1. If the share price falls to $12 per share by the end of the year, what is the remaining margin in her account? (Round your answer to 2 decimal places.) Remaining margin % b-2. If the maintenance margin requirement is 30%, will she receive a margin call? No Yes c. What is the rate of return on her investment? (Negative value should be indicated by a minus sign. Round your answer to 2 decimal places.) Rate of return %

Request for Solution File

Ask an Expert for Answer!!
Financial Management: What is the rate of return on her investment what is the
Reference No:- TGS02757932

Expected delivery within 24 Hours