Assume an investor buys 100 shares of stock at 35 per share, Ask an Expert

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Assume an investor buys 100 shares of stock at $35 per share, putting up a 75% margin.

a. What is the debit balance of this transaction?

b. How much equity funds must the investor provide to make this margin transaction?

c. If the stock rises to $55 per share, what is the investor's new marginal position?

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92790448

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