Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Basic Finance Expert

An investor sold a stock short a year ago for $50 per share. The stock's price is currently $52 per share. If the investor is unwilling to accept a loss on the short sale of more than $5 per share on the transaction, she could place a

Answer

A. stop-loss order with a specified selling price of $55 per share.

B. stop-buy order with a specified purchase price of $55 per share.

C. stop-loss order with a specified selling price of $45 per share.

D. stop-buy order with a specified purchase price of $45 per share.

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M944823

Have any Question? 


Related Questions in Basic Finance

Explain why option traders often use spreads instead of

Explain why option traders often use spreads instead of simple long or short options and combined positions of options and stock ? Suppose that an option trader has a call bull spread. The stock price has risen substanti ...

Assume that you have an opportunity to visit a civilization

Assume that you have an opportunity to visit a civilization in outer space. Its society is at roughly the same stage of development as U.S. society is now. Its economic system is virtually identical to that of the United ...

If the binomial model produces a call option price that is

If the binomial model produces a call option price that is higher than the price at which the option is trading in the market, what strategy is suggested? Discuss how a binomial model accommodates the possibility of earl ...

1 what factors must one consider when deciding on the

1. What factors must one consider when deciding on the appropriate underlying asset for a hedge? 2. For each of the following hedge termination dates, identify the appropriate contract expiration. Assume the available ex ...

A share of common stock is currently selling for 2773 the

A share of common stock is currently selling for $27.73. The last dividend paid was $1.60 per share. The marketrate of return is 10%. At what rate is the dividend growing?

1 define the following margin account margin requirement

1. Define the following: margin account, margin requirement, and marking to market. 2. Why did futures markets originate in agricultural markets? Would a farmer buy or sell futures contracts? What would a farmer hope to ...

In late april 2010 apples stock was selling for more than

In late April 2010, Apple's stock was selling for more than $260 per share. The following appeared in a column in the Wall Street Journal, listing potential problems facing Apple that might cause the price of the firm's ...

1 compare and contrast the theories of absolute and

1. Compare and contrast the theories of absolute and comparative advantage. 2. How does the Heckscher-Ohlin (HO) theory build on the earlier work of absolute and comparative advantage? 3. The Leontief Paradox finds oppos ...

Write a 600 -word paper in your paper include the

Write a 600 -word paper. In your paper include the following: Explain the capital structure of Ford Motors Company. Do they rely more heavily on debt or equity? What are their structure weights (%'s)? How does this struc ...

Explain the difference between a short hedge and a long

Explain the difference between a short hedge and a long hedge ? a. What is the basis? b. How is the basis expected to change over the life of a futures contract? c. Explain why a strengthening basis benefits a short hedg ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen