Questions
2: Suppose you decided to buy 100 shares of AMZN at $2750 a share with maximum...

2: Suppose you decided to buy 100 shares of AMZN at $2750 a share with maximum margin. The margin interest is 6%. In one year, the stock price will either be $3300 or $2300.

What is your gain/loss percentage with and without margin?

Let’s say the maintenance margin is 35%, what is the price that you will get a margin call?

In: Finance

​The thirty-year US Treasury bond has a 2.5% coupon and yields 3.3%. What is its price?...

​The thirty-year US Treasury bond has a 2.5% coupon and yields 3.3%. What is its price?
​A thirty-year corporate bond with a 4% coupon is priced at par. Is it possible for the corporate bond to have a higher price than the Treasury? How is the corporate bond’s “spread” quoted?
​Both bonds are 100 face and semi-annual.

In: Finance

Ann Co. uses the dollar-value LIFO retail method. The beginning inventory, purchased when the price index...

Ann Co. uses the dollar-value LIFO retail method. The beginning inventory, purchased when the price index was 100, had a retail value of $4,000 and a cost of $3,600. During the period, purchases amounted to $60,000 at retail ($52,800 at cost). Sales amounted to $56,300. The year-end price index was 110. What is the cost of ending inventory?

In: Accounting

A report announced that the median sales price of new houses sold one year was ​$221,000​,...

A report announced that the median sales price of new houses sold one year was ​$221,000​, and the mean sales price was ​$270,400. Assume that the standard deviation of the prices is ​$100,000.

(d) If you select a random sample of n=100​, what is the probability that the sample mean will be between ​$275,000 and ​$285,000​?

The probability that the sample mean will be be between ​$275,000 and ​$285,000 is

In: Statistics and Probability

Industry demand is given by :   P = 100-2Q The total cost for the individual firm...

Industry demand is given by :

  P = 100-2Q

The total cost for the individual firm of which there are 4, is given by:

TCi = 10qi + qi^2

If the 4 firms form a cartel what will be the price and output if

  1. the cartel is centralized and

  2. the cartel is decentralized


As we know cheating is a problem with cartels what would happen to price and output if the cartel breaks down?

In: Economics

Marmara MIS Company forecasts to pay dividends 2 TL, 2,5 TL, 3 TL, 3.5 TL, and 4 TL over the next five years, respectively. At the end of three years, you

Marmara MIS Company forecasts to pay dividends 2 TL, 2,5 TL, 3 TL, 3.5 TL, and 4 TL over the next five years, respectively. At the end of three years, you anticipate selling your stock at a market price of 100 TL. What is the price of the stock given a 12% expected return?

In: Accounting

A report announced that the mean sales price of all new houses sold one year was...

A report announced that the mean sales price of all new houses sold one year was $272,000. Assume that the population standard deviation of the prices is $100,000. If you select a random sample of 100 new houses, what is the probability that the sample mean sales price will be between $250,000 and $285,000?

a. 0.2956

b. 0.8893

c. 0.1388

d. 0.8034

In: Statistics and Probability

Consider a security with the stock prices S(1) = : 80 with probability 1/8 90 with...

Consider a security with the stock prices

S(1) =

:

80 with probability 1/8

90 with probability 2/8

100 with probability 3/8

110 with probability 2/8

(a) What is the current price of the stock for which the expected return

would be 12%?

(b) What is the current price of the stock for which the standard deviation

would be 18%?

In: Finance

Consider a security with the stock prices S(1) =    80 with probability 1/8...

Consider a security with the stock prices
S(1) =



80 with probability 1/8
90 with probability 2/8
100 with probability 3/8
110 with probability 2/8
(a) What is the current price of the stock for which the expected return
would be 12%?
(b) What is the current price of the stock for which the standard deviation
would be 18%

In: Finance

Demand in a perfectly competitive market is Q = 100 - P. Supply in that market...

Demand in a perfectly competitive market is Q = 100 - P. Supply in that market is Q = P - 10.

(i) If the government imposes a $10 per unit sales tax, what is the consumer price, seller price, and quantity?

(ii) Once the government imposes the tax, how much consumer surplus, producer surplus, and dead-weight loss is there?

In: Economics