Homework Answers
Second option is correct.
Total implied and actual transaction cost= (16.25-15.25)*100+20*2 = $ 140
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value 5.00 points You find that the bid and ask prices for a stock are $15.25...
You find that the bid and ask prices for a stock are $10.85 and $11.80, respectively....
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You submitted an order to buy the Southern Province Cement Co. security. The bid and ask...
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Your broker quotes you an ask price of $21 for Stock XYZ and a bid price...
Your broker quotes you an ask price of $21 for Stock XYZ and a bid price of $20. Which of the following is a FALSE statement? A. It would cost you $20 to purchase one share of the stock. B. You could sell one share of the stock for $20. C. The bid-ask spread is $1. D. It would cost you $21 to purchase one share of the stock. E. Your broker makes money by selling the stock for more...
P2-2 (similar to) Question Help Transaction costs In late December you decide, for tax purposes, to...
P2-2 (similar to) Question Help Transaction costs In late December you decide, for tax purposes, to sell a losing position that you hold in Twitter, which is listed on the NYSE, so that you can capture the loss and use it to offset some capital gains, thus reducing your taxes for the current year. However, since you still believe that Twitter is a good long-term investment, you wish to buy back your position in February the following year. To get...
P2-2 Transaction costs In late December you decide, for tax purposes, to sell a losing posi...
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Ch 3, Question 13 Here is some price information on Marriott Marriot 39.95 40.05 Bid Ask...
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Question 36 (Mandatory) (0.5 points) At your full-service brokerage firm, it costs $120 per stock trade....
Question 36 (Mandatory) (0.5 points) At your full-service brokerage firm, it costs $120 per stock trade. How much money do you receive after selling 200 shares of Ralph Lauren (RL), which trades at $85.13? $16,906.00 $16,546.00 $17,026.00 $17,146.00 Question 37 (Mandatory) (0.5 points) You would like to sell 400 shares of International Business Machines (IBM). The current bid and ask quotes are $96.24 and $96.17, respectively. You place a limit sell-order at $96.20. If the trade executes, how much money...
c. You are a shareholder in a C corporation. The corporation earns $5.00 per share before...
c. You are a shareholder in a C corporation. The corporation
earns $5.00 per share before taxes. Once it has paid taxes it will
distribute the rest of its earnings to you as a dividend. Assume
the corporate tax rate is 40% and the personal tax rate on (both
dividend and non-dividend) income is 30%. How much is left for you
after all taxes are paid?
483.04 -9.10 (-1.85%) Buy Sell As of 1:26PM EST. Market open. Summary Company Outlook...
Please kindly answer the questions (little boxes) five for each question completely, and clearly. thank you...
Please kindly answer the questions (little boxes) five for each
question completely, and clearly. thank you
Strangles Strangles are very similar to straddles in many ways: they are composed of a combination of puts and calls, and for the long position, extreme moves in the price of the underlying are necessary for the position to be profitable, and profitability is not dependent upon direction (a sharp downward move can also be profitable). The major difference between the strangle and the...
The question is complete, and please answer ALL of the boxes by the info provided. thanks...
The question is complete, and please answer ALL of the boxes by
the info provided. thanks
Short Straddle Short Straddle Composition: Short a call and a put with the same strike and expiration $35.00 $30.00 Max Profit: the premium collected (credit) $25.00 Max Loss: T Unlimited to the upside, limited by the price of the stock to the downside $20.00 $15.00 - -- Short Call | BEP: There are 2 --strike minus credit & strike plus credit • Short Put...
P2-2 (similar to) Question Help Transaction costs In late December you decide, for tax purposes, to sell a losing position that you hold in Twitter, which is listed on the NYSE, so that you can capture the loss and use it to offset some capital gains, thus reducing your taxes for the current year. However, since you still believe that Twitter is a good long-term investment, you wish to buy back your position in February the following year. To get...
P2-2 Transaction costs In late December you decide, for tax purposes, to sell a losing posi tion that you hold in Twitter, which is listed on the NYSE, so that you can capture the loss and use it to offset some capital gains, thus reducing your taxes for the current year However, since you still believe that Twitter is a good long-term investment, you wish to buy back your position in February the following year. To get this done you...
Ch 3, Question 13 Here is some price information on Marriott Marriot 39.95 40.05 Bid Ask You have placed a stop-loss order to sell at $40. What are you telling your broker? Given market prices, will your order be executed? Question 15 You have borrowed $20,000 on margin to buy shares in Disney, which in now selling at $40 per share. Your account starts at the initial margin requirement of 50%. The maintenance margin is 35%. Two days later, the...
Question 36 (Mandatory) (0.5 points) At your full-service brokerage firm, it costs $120 per stock trade. How much money do you receive after selling 200 shares of Ralph Lauren (RL), which trades at $85.13? $16,906.00 $16,546.00 $17,026.00 $17,146.00 Question 37 (Mandatory) (0.5 points) You would like to sell 400 shares of International Business Machines (IBM). The current bid and ask quotes are $96.24 and $96.17, respectively. You place a limit sell-order at $96.20. If the trade executes, how much money...
c. You are a shareholder in a C corporation. The corporation
earns $5.00 per share before taxes. Once it has paid taxes it will
distribute the rest of its earnings to you as a dividend. Assume
the corporate tax rate is 40% and the personal tax rate on (both
dividend and non-dividend) income is 30%. How much is left for you
after all taxes are paid?
483.04 -9.10 (-1.85%) Buy Sell As of 1:26PM EST. Market open. Summary Company Outlook...
Please kindly answer the questions (little boxes) five for each
question completely, and clearly. thank you
Strangles Strangles are very similar to straddles in many ways: they are composed of a combination of puts and calls, and for the long position, extreme moves in the price of the underlying are necessary for the position to be profitable, and profitability is not dependent upon direction (a sharp downward move can also be profitable). The major difference between the strangle and the...
The question is complete, and please answer ALL of the boxes by
the info provided. thanks
Short Straddle Short Straddle Composition: Short a call and a put with the same strike and expiration $35.00 $30.00 Max Profit: the premium collected (credit) $25.00 Max Loss: T Unlimited to the upside, limited by the price of the stock to the downside $20.00 $15.00 - -- Short Call | BEP: There are 2 --strike minus credit & strike plus credit • Short Put...
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