you bought some shares of stocks on margin with the maximum margin allowed (50%). the margin interest is 8% and the price of the stock has increased by 6%. what is your return on investment?
Answers
The actual return on investment is 2.04%. To calculate the return on investment, we need to calculate the profit earned on the investment after considering all the costs.
Given that you bought some shares of stocks on margin with the maximum margin allowed (50%).
So, the initial investment = $100 (assuming 50% is margin and 50% is borrowed amount).
Now, the margin interest is 8%. Therefore, the interest expense for 1 year
= 8% of $50 (borrowed amount)
= $4.
Now, the price of the stock has increased by 6%. Therefore, the value of the shares is now = $106.
So, the return on investment = [(value of shares - initial investment - interest expense) / initial investment] × 100%
= [(106 - 100 - 4) / 100] × 100% = 2%.
Thus, the return on investment is 2%. However, this is only the return on the investment, which does not take into account the borrowed amount.
Therefore, the actual return on investment considering the borrowed amount is:
Return on investment = [(value of shares - interest expense) / borrowed amount] × 100%
= [(106 - 4) / 50] × 100%
= 2.04%.
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Related Questions
Look for _____ in research information showing preferential treatment or consideration regardless of legitimate reasoning.
credibility
relevance
bias
additional sources
Answers
Answer:
bias
Explanation:
bias is the true anwer
What are the advantages and disadvantages of the three primary business writing formats?
Answers
Answer and Explanation:
The business writing formats benefits and disadvantages of the three primary business writing formats are described below:-
A memorandum is a formal define that it is the way of communication that enables corporations to connect with their workers. This is typically used to distribute updates or issues.
Memos are highly increasingly being replaced by e-mail, so sending a memo is more difficult and costly. Therefore, a Business Letter is a structured communication method that's best used to connect with clients.
It generally takes more time to write and format a business letter than to write an email or memo.
As we know that an Email is easy to send and priceless, and make enable to send message to many people at a time also Many unwritten e-mails etiquette rules and can be too casual for many business purposes.
Business writing formats includes the use of memorandum, email business letters etc. The advantages and disadvantages of the three primary business writing formats are:
A Memorandum: (Advantages)
This is simply a formal, internal communication tool which allows companies to communicate with their employees. It is known to be used to deliver announcements or problems.Disadvantages
Memos are said to be rapidly been replaced by e-mail due to the fact that it is more complicated and expensive to deliver a memo.Business letters (Advantages)
A Business Letter is simply known as a formal communication tool which is utilized for communicating with customers.Disadvantages
Writing and formatting a business letter often takes more time than composing a memo or e-mail.Emails (Advantages)
E-mail is quick, easy and cheap, and allows you to send messages instantly to any number of people.Disadvantages
E-mail has too much unwritten rules to follow (etiquette) and it is too informal for many business purposes.Learn more from
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Which of the following influences the consumer when he or she is deciding wether to buy a product?
A. The stock market
B. Opinion factors
C. External factors
D. Multiple factors
Answers
Answer:
D.
Explanation:
The factors that infuence a consumer's decision of buying product are multiple. It can be internal, external, economic, cultural, etc.
These factors include psychological factor, social factor, cultural factor, situational factor, etc.
Many times it's psychological factors such as moods. If a person is in bad or good mood, it will affect his behavior to buy a product. Culture or social life also influences consumer's buying habit. Some buy under peer pressure or to have status in society.
Therefore, option D is correct.
Answer: External factors
Explanation:
okay y'all so I'm just starting a business I make lollipops and I've been just doing this since this summer and I got everything I want but I still can't seem to find a right name for my business , so I guess what I'm asking is if anyone can give me some ideas I would love to hear what kind of names you guys come up with ? because I really don't know what to name it .
Answers
What does the business cycle shown on this graph suggest about the condition of the economy at point A?
A. the economy is getting worse and will continue to climb in for another quarter
B. the economy has struggled for some time but is preparing to recover
C. the economy has been well for a while and is at its highest point of the cycle
D. The economy is in a period of growth that will continue for some time
Answers
Answer:
C the Ecenomy has been well for while and is
at its highest piont of the cycle
Explanation:
hope it helps
Answer:
The economy is in a period of growth that will continue for some time
Explanation:
which word best describes the writing process in business writing ?
Answers
Answer: Brainstorm Pre-write. Write rough draft. Peer-review. Revise ideas. Edit Publish Establish constructive purposes for student writing. Find real audiences, beyond the teacher, for students' writing
Question is down below, 80 points! :)
Answers
Answer:
B
Explanation:
Retained earnings are the amount of profit a company has left over after paying all its direct costs, indirect costs, income taxes and its dividends to shareholders.
what+is+the+probability+of+a+random+observation+from+normally+distributed+data+being+above+average?+a.+66%+b.+50%+c.+95%+d.+5%+e.+33%
Answers
The probability of a random observation from normally distributed data being above average can be determined by understanding the properties of the normal distribution. In a normal distribution, the data is symmetrically distributed around the mean, with approximately 50% of the data falling above the mean and 50% falling below the mean.Therefore, the correct answer is B. 50%.
Since the distribution is symmetrical, the probability of being above average is the same as the probability of being below average. This means that half of the observations will be above average and the other half will be below average.
It's important to note that the answer assumes a perfectly normal distribution and does not take into account any specific values or deviations from normality that may exist in the data.The correct answer is B. 50%.
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The complete question is:
What is the probability of a random observation from normally distributed data being ABOVE average? A. 33% B. 50% C.5% D. 95% E. 66%
The Ritz-Carlton hotel in St. Louis has 140 standard rooms. It offers a $110 discount fare targeting leisure travelers and regular fare $200 targeting business travelers. Demand for low fare rooms arrives early and is abundant. The demand for high fare rooms follows a normal distribution with mean 40 and standard deviation 10.
a) What is the optimal booking limit for the low-fare customers?
b) Assume demand for regular-fare rooms is price insensitive (demand stays the same regardless of the regular fare). What value of the regular fare would make a booking limit of 70 optimal
Answers
The optimal booking limit for low-fare customers is 70 rooms. To determine the optimal booking limit for low-fare customers, we need to compare the demand for low-fare rooms with the available capacity.
Since the demand for low-fare rooms is abundant, we can set the booking limit to the maximum capacity available, which is 140 rooms.
b) To find the regular fare that would make a booking limit of 70 optimal, we need to consider price sensitivity. Since demand for regular-fare rooms is assumed to be price insensitive, it means the demand will remain the same regardless of the regular fare. Therefore, the value of the regular fare does not affect the optimal booking limit, and we can still set it to 70 rooms.
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am I correct? if not lmk the answer please
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what would be the best leadership strategy for a giver
Answers
Answer:
depends on the situation give me a strategy and ill give you why it would be the best
Markets in which funds are transferred from those who have excess funds available to those who have a shortage of available funds are called.
Answers
Markets in which funds are transferred from those who have excess funds available to those who have a shortage of available funds are called Financial Markets
What is financial markets?
Financial markets broadly refer to any setting where securities are traded, including, but not limited to, the stock market, bond market, FX market, and derivatives market. Capitalist economies cannot function well without financial markets.
Financial markets are essential for the efficient running of capitalist economies because they distribute resources and provide liquidity to firms and entrepreneurs.
Buying and selling financial assets is made simple by the markets. Financial markets provide securities products that offer a return to people with extra money (investors/lenders) and make that money accessible to others who need more cash (borrowers).
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Emilio is photographing a series of hills on his uncle's farm. He remembers that he needs to try to add a foreground to his image to make it appear three dimensional. How is he MOST LIKELY to add this foreground? A. B. C. D. He might change his position to include some foreground items such as rocks or grasses. He might tilt his camera up to better capture the tops of the hills. He might add some framing trees in the middleground of his image. He might circle around to the side of the hills to capture the cows standing on top. PLS HELP!!
Answers
Emilio is photographing a series of hills on his uncle's farm. He remembers that he needs to try to add a foreground to his image to make it appear three-dimensional. He is most likely to add this foreground Option A. He might change his position to include some foreground items such as rocks or grasses.
The foreground of an image is usually the element that is closest to the viewer. The foreground is often used to add depth to an image. If a photographer wants to create a 3D appearance in his image, he must ensure that the image has a foreground, mid-ground, and background. It is possible to include a foreground in a photo by modifying the angle of the shot and including elements in the foreground.
Emilio might change his position to include some foreground items such as rocks or grasses. By doing so, he will be adding depth to his image. Another way to add foreground to an image is to use framing trees in the middle ground of the image, but this may not provide the depth required. Tilt his camera up to better capture the tops of the hills or circling around to the side of the hills to capture the cows standing on top are not recommended, as the question seeks to add a foreground.
Therefore, Emilio is most likely to add the foreground by changing his position to include some foreground items such as rocks or grasses. Therefore, the correct option is A.
The question was incomplete, Find the full content below:
Emilio is photographing a series of hills on his uncle's farm. He remembers that he needs to try to add a foreground to his image to make it appear three-dimensional. How is he MOST LIKELY to add this foreground?
A. He might change his position to include some foreground items such as rocks or grasses.
B. He might tilt his camera up to better capture the tops of the hills.
C. He might add some framing trees in the middle ground of his image.
D. He might circle around to the side of the hills to capture the cows standing on top.
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Parent corporation owns all of subsidiary corporations stock in addition parent corporation owns $100,000 of subsidiary corporation's bonds. When subsidiary corporation is completely liquidated
Answers
Answer:
In this case, when the subsidiary corporation is completely liquidated they have to pay the $100,000 in the subsidiary corporation's bonds.
Explanation:
The reason behind this answer is that in case the subsidiary corporations decide to liquidate all of their assets in any case. They still have a debt to the parent corporation of $100,000. So, after they liquidate they have to take some of the money to pay the debt issued of those bonds. No matter what, or the parent company can write a lawsuit against them for not doing so.
when job demands are so great that the worker feels an inability to cope, this is known as role
Answers
When job demands are so great that the worker feels the inability to cope, this is known as Role Overload
What is Role Overload?Generally, The sense that one's personal resources are being stretched too thin in order to meet the requirements of their job function is one kind of particular stressor known as "role overload" (Eatough et al., 2011).
As a consequence of this, role overload has the potential to result in resource depletion, which is a situation that may be comprehended via the lens of COR.
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TRUE/FALSE. The salary of an athlete like Peyton Manning is in part a reward for his unique ability-something economists call economic rent.
Answers
The statement is true. The salary of an athlete like Peyton Manning can be considered as a reward for his unique ability, which economists refer to as economic rent. Economic rent is the additional income earned by individuals or firms due to their possession of a unique skill, talent, or resource.
In economics, economic rent refers to the income earned above and beyond what is necessary to keep a resource in its current use. It is essentially the surplus income that individuals or firms receive due to their unique abilities or ownership of scarce resources. In the case of athletes like Peyton Manning, their exceptional skills and talents in sports make them valuable assets to sports teams and organizations. As a result, they are able to command high salaries that reflect their unique ability and the scarcity of individuals who possess similar skills.
The concept of economic rent applies to various industries and professions where individuals or firms possess specialized skills, talents, or resources that are in high demand. These individuals or firms are able to earn higher incomes compared to others in the same field because of their uniqueness and the limited supply of individuals with similar abilities. In the context of professional athletes, their extraordinary athletic abilities and the entertainment value they bring to fans and spectators contribute to their ability to negotiate high salaries, which can be considered as economic rent.
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Which of the following is not the process of financial management? A Evaluating financial status B Setting goals C Record monthly expenses D Creating financial plan
Answers
Answer:
C) Record monthly expenses
Explanation:
What is the reason for using progressive taxes on income?
A) Lower-income individuals have a lower cost of living and can afford to pay more in taxes.
B) Higher-income individuals are more likely to spend their income on consumption of goods, and paying more taxes discourages spending.
C) Higher-income individuals are more likely to afford their standard of living and can afford to pay more in taxes.
D) Individuals of all incomes pay the same percentage of their income toward the tax, making it a fair tax.
Answers
The reason for the progressive tax is because the Higher-income individuals can afford a good standard of living and can pay more in taxes.
What is a progressive tax?This is a type of tax imposed based on a taxpayer's ability to pay, that is, the higher the income. the higher the taxrate applicable to the taxpayer's income.
The reason for progressive tax is that a tax would be a disproportionate burden for people with low incomes.
Therefpre, the Option C is correct.
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Which of the following is not one of the 3 major ways to save for retirement
that were discussed in class?
O a. Saving and investing throughout your life
O b. Getting paid via benefits from social security
O d. Liquidating the majority of your assets into cash
O c. Leveraging benefits from your previous job
Answers
The option that is not one of the 3 major ways to save for retirement discussed in class is option
(d) liquidating the majority of your assets into cash.
What is a better way to save for retirementThis is not a sustainable strategy for retirement savings as it involves selling off assets that could potentially generate income and growth over time.
The three major ways to save for retirement are:
a. Saving and investing throughout your lifeb. Getting paid via benefits from social securityc. Leveraging benefits from your previous job (such as a pension plan or 401(k))Learn more about retirement savings at
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in a quiz for Marks and given for correct answer and negative marks are given for incorrect answer if Jacks score 20 five successive rounds 25,-5,-10,15 and 10, what was total at the end
Answers
Answer:
35
Explanation:
I believe he has 35 marks at the end but I could be wrong.
Decribe at leat two categorie you could group the company' target cutomer into, if the company were uing channel management
Answers
The first is the company would be large and have several locations. It'd sell clothes. Secondly, Adults and people who like to dress up would be the company's target customers.
Target customers are a specific group of consumers to that a company aims to sell its products or services. Identifying and understanding target customers is a crucial part of developing a successful marketing strategy. By focusing on a specific group of customers, a company can tailor its products, pricing, promotion, and distribution to meet its unique needs and preferences.
This can lead to increased customer satisfaction, loyalty, and profits. Target customers can be identified through market segmentation, which involves grouping consumers based on common characteristics such as demographics, psychographics, geography, behaviour, or other factors.
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The complete question is:
Choose the type of company you want to work for or start, and then answer the questions below. a. Describe the type of business and the product that would be sold. B. Describe at least two categories into which the company's target customers could be classified if channel management were used.
In which of the following situations would it be MOST beneficial to hire a financial adviser?
A. I’m a senior in college, am about to graduate, and need to create a plan for paying off my student loans.
B. I have a car loan, a large student loan, and a backlog of unpaid medical bills that I’m struggling to keep up with.
C. I’m having a hard time tracking my expenses and income, and want to establish a solid monthly budget to better manage my money.
D. I have a $1,250 credit card bill with a 22% interest rate that I’m trying to pay off.
Answers
a financial adviser is there to guide you, not to help you pay off bills
What do dymanic link libary files do
Answers
A dynamic link library is a collection of small programs that larger programs can load when needed to complete specific tasks. The small program, called a DLL file, contains instructions that help the larger program handle what may not be a core function of the program.
Morgan is assessing global entry strategies for her organic yogurt shops. She does not want to take a lot of risk and is willing to limit her control of international stores. Morgan will most likely use a(n) ________ strategy.
Answers
This strategy involves granting the right to use her brand and business model to independent operators in exchange for a fee or a percentage of the revenue.
By doing so, Morgan can expand her business globally without incurring high costs or taking on a lot of risk. In assessing global franchising strategies, Morgan should consider factors such as local laws and regulations, cultural differences, and market demand to ensure a successful global expansion. Based on the given information, it seems that Morgan wants to minimize risk and limit control of international stores, which suggests that she may prefer an entry strategy that involves low risk and minimal involvement. In this case, a franchise strategy may be the most suitable approach for Morgan's organic yogurt shops.
A franchise strategy allows a company to expand its operations internationally without taking on significant risks or control over international stores. Therefore, Morgan will most likely use a franchise strategy for her global entry plan.
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A landowner entered into a written agreement with a real estate broker whereby the broker would receive a commission of 10% of the sale price if he procured a "ready, willing, and able buyer" for the landowner's property and if the sale actually proceeded through closing. The broker found a buyer who agreed in writing to buy the property from the landowner for $100,000, the landowner's asking price. The buyer put up $6,000 as a down payment. The agreement between the landowner and the buyer contained a liquidated damages clause providing that, if the buyer defaulted by failing to tender the balance due of $94,000 at the closing date, damages would be 10% of the purchase price. The landowner included that clause because she was counting on using the proceeds of the sale for a business venture that would likely net her at least $10,000.
The buyer became seriously ill and defaulted. When he recovered, he demanded that the landowner return his $6,000, and the landowner refused. The broker also demanded the $6,000 from the landowner and was refused. The broker and the buyer filed separate suits against the landowner, with the buyer pleading impossibility of performance. The two cases are consolidated into a single case.
How should the court rule as to the disposition of the $6,000?
response:
A. The landowner keeps the entire $6,000, because the liquidated damages clause is reasonable.
BThe buyer gets the entire $6,000, because his performance was impossible.
CThe broker gets the entire $6,000, which is 60% of the commission he is entitled to, because he substantially performed his part of the contract by producing a buyer willing to pay the $100,000 asking price.
D. The broker gets $600 and the landowner gets $5,400, because the damages clause was reasonable and the broker is entitled to 10% of whatever the landowner realizes from the deal.
Answers
The landowner keeps the entire $6,000, because the liquidated damages clause is reasonable the court rule as to the disposition of the $6,000. Thus, option (a) is correct.
According to the liquidated damages clause, 10% of the purchase price will be awarded as compensation if the buyer breaches the agreement by failing to offer the $94,000 remaining due on the closing date.
The reason the landowner added that clause was because she anticipated using the selling money for a business endeavor that would most certainly bring in at least $10,000 for her. When the buyer recovered from a serious illness that caused him to default and demand the return of his $6,000, the landowner refused.
Therefore, option (a) is correct.
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Which of the following types of contracts cannot be either contradicted or supplemented by evidence of prior agreements or expressions? Totally integrated contracts.
Answers
Totally integrated contracts cannot be contradicted or supplemented by evidence of the prior agreements or expressions.
This is because a totally integrated contract is a complete and final agreement between the parties involved, meaning that all terms and conditions have been included in the document.
Therefore, any prior agreements or expressions that are not included in the contract are deemed irrelevant and cannot be used to modify the terms of the agreement. This is to ensure that all parties involved have a clear understanding of their obligations and rights under the contract, without any confusion or misunderstanding.
Overall, a totally integrated contract provides a level of certainty and predictability to the parties involved, which is important in any legal agreement.
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Strategic planning requires ________________ to facilitate the process of assessing opportunities or threats from competitors.
Answers
Strategic planning requires marketing Analytics to facilitate the process of assessing opportunities or threats from competitors.
What is Marketing Analytics?Please note that this is the study of data to assess the performance of marketing activity.
It strives to uncover market-related insights from data and helps to:
stop or prevent continuous lossesuncover hidden opportunitiesevaluate competitionunder stand consumption patterns and triggers etc.Following from the full question which is attached, the correct answer is B.
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People often plan in business. Strategic planning requires development of an organizational mission statement to facilitate the process of assessing opportunities or threats from competitors.
What is Strategic planningStrategic planning is known to be a kind of organizational management activity that is often done to show priorities, base energy and resources, empowers operations, make sure that employees and the stakeholders are working hard in hand for common goals.
This kind of planning needs the growth or workings of an organizational mission statement to boost the act of looking for opportunities or threats from competitors.
Here, there are establish agreement centers on the intended outcomes or results, and look into and adjust the organization' management.
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What are 3 reasons for having a checking account?
Answers
The major reason for having the checking account are financial safety, easy access to your funds, savings from check-cashing fees, and overall financial peace of mind.
Checking account:
In accounting, checking account is the type of bank account that allows you to easily deposit and withdraw money for daily transactions.
Given,
Here we need to find the 3 reasons for having a checking account.
Based on the given definition we know that the checking account is the that is perfectly suitable for the daily transactions actions.
Therefore, the reason behind the usage of checking account is listed as,
=> helps you manage your day-to-day finances, such as paying your bills,
=> receiving direct deposit of your paycheck, and
=> withdrawing cash from an ATM.
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types of insurance plz in detail
Answers
Answer:
health insurance life insurance car insurance etc
Explanation:
health issues they give money
money on customers death
money for car damage fix
What is a tangible symbol that communicates the features, benefits, and advantages of a particular product to consumers?
Answers
Answer:hudsa
Explanation:uhsha