Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Business Management Expert

Buying on Margin Assume that Vogl stock is priced at $50 per share and pays a dividend of $1 per share. An investor purchases the stock on margin, paying $30 per share and borrowing the remainder from the brokerage firm at 10 percent annualized interest. If, after one year, the stock is sold at a price of $60 per share, what is the return to the investor?

Business Management, Management Studies

  • Category:- Business Management
  • Reference No.:- M9103701

Have any Question?


Related Questions in Business Management

Please discuss the followingas demand increased for these

Please discuss the following: As demand increased for these mortgage backed securities, lenders reacted by relaxing their approval standards to increase production. No longer were "all" borrowers required to document the ...

Suppose a finite deck of numeric cards 1 2 3 have been

Suppose a finite deck of numeric cards 1, 2, 3, ... have been shuffled randomly. Repeat the following step: If the top card is numbered 1, the game terminates. But if it is any number n > 1, then reverse the ordering of ...

Describe the evaluation process for mergeracquisition

Describe the evaluation process for merger/acquisition activities. How important is technology blending in the evaluation process? What are the strengths and weaknesses of the process?

Discuss how the mckinseys 7s framework impact the future

Discuss how the McKinsey's 7S framework impact the future strategies of firms in the U.S.

Distinguish between secondary and primary methods of data

Distinguish between secondary and primary methods of data collection. Is it possible to use secondary data methods as substitutes of primary methods? Justify the answer with suitable illustrations and using data from dif ...

What are the pros and cons of narrow span in

What are the pros and cons of narrow span in management?

Culture varies by country give five of the dimensions and

Culture varies by country, Give five of the dimensions and one country that is likely to be high and one that is likely to be low for each dimension.

The initial problem was how alissa would manage locations

The initial problem was how Alissa would manage locations almost an hour apart while maintaining the level of quality and service customers expected. Does this problem require a routine or non-routine decision? Explain y ...

If health care employees are happy in their jobs do you all

If health care employees are happy in their jobs, do you all see incentives as a major issue in employees deciding to remain at a place of employment? Further, can incentives be in the form of monetary, or recognition of ...

Low cost leader strategywhat are some of the risks

Low Cost Leader Strategy: What are some of the risks associated with a low cost leadership strategy? Provide one original example of a company that you believe employs this strategy and why?

  • 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

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As