You’ve borrowed $39,000 on margin to buy shares in Bombardier, which is now selling at $156 per share, and you have invested $39,000 of your own. Your account starts at the initial margin requirement of 50%. The minimum margin is 35%. Two days later, the stock price falls to $151 per share.
a. Will you receive a margin call?
multiple choice
Yes
No
b. How low can the price of Bombardier shares fall before you receive a margin call? (Round your answer to 2 decimal places. Omit $ sign in your response.)
Price $

Answers

Answer 1

a. Yes, you will receive a margin call.
b. The price of Bombardier shares can fall to $150.50 before you receive a margin call.

Explanation:
To calculate if a margin call is required, we need to compare the current equity in the account (the value of the shares minus the amount borrowed) to the maintenance margin requirement.
Initial investment = $39,000 (your own) + $39,000 (borrowed) = $78,000
Initial margin requirement = 50% of $78,000 = $39,000
Current market value of shares = $156 x 2,000 (number of shares bought) = $312,000
Equity = $312,000 - $39,000 (amount borrowed) = $273,000
Maintenance margin requirement = 35% of $312,000 = $109,200
Since the current equity of $273,000 is above the maintenance margin requirement of $109,200, no margin call is required.
To calculate how low the share price can fall before a margin call is required, we need to solve for the share price at which the equity would equal the maintenance margin requirement.
Equity = (share price x number of shares) - amount borrowed
$109,200 = ($x 2,000) - $39,000
$x = $150.50

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Related Questions

What is the role of interest groups, according to pluralist theories of modern democracy?.

Answers

The role of interest groups according to pluralist theories of modern democracy is they limit the centralization of power.

What is centralization?

Centralization refers to that type of government in which power is concentrated in a single authority. In such a system, only one authority is recognized in the whole country.  

Power is usually vested with the central authority. The degree of centralization is highest in a unitary state. Examples of unitary states are Britain, France, Ghana, etc.

The merits of centralization of power are reduced cost of operation, reduced conflict etc.

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The CEO of Tough Mudder believes that teams in his company are not working as effectively as they could, and he is asking you for advice. Provide the best answer to his question. "A new team we just formed to explore expanding into the Mediterranean and Middle East seems to have split into three factions around what kinds of events to host and what kinds of customers to target, and communication is sometimes not respectful. How can the manager help the team move beyond this?" The manager should encourage team members to share personal information and get to know one another better. The manager should make sure that both the task specialist and socioemotional roles are being performed on the team. The manager should encourage everyone to participate in discussions by stating their underlying interests rather than demands for specific outcomes. The manager should encourage a high level of task conflict and relationship conflict so team members can work out all their differences.

Answers

Answer:

The manager should make sure that both the task specialist and socioemotional roles are being performed on the team.

Explanation:

In the given scenario the team is split into three factions around what kinds of events to host and what kinds of customers to target, and communication is sometimes not respectful.

There is need to resolve both the social problem of disrespect and the specialist problem of having different opinions about types of events and customers to target.

As a manger it is important that socioemotional roles are performed in the group to make the factions respect themselves.

This will easily promote communication and help resolve the specialist differences the factions are having

What are some negative effects of the traditional economy?
a. they are always choosing new ideas and technologies
b. they are inefficient in providing goods and services to the society
c. they assign jobs based on test scores
d. all of the above

Answers

I think it’s D. All of the above

Explain the importance of office for an organization long answer

Answers

Answer:

The answer to this question is given below in this explanation section.

Explanation:

                  " importance of office for an organization"

An office is the center point of organization.It is a place to perform different activities of a business organization.The office is the brain of the whole organization.The office performs a critical function such as information collection,collection,recording analyzing distribution of information and executive function such as planning,organization,policies formulation,decision making etc.

It is used by management for the purpose of planning,organizing,staffing,directing,and controlling.Office not only keep record of information  but also pay the role of reliable channel of communication the information.It is required for smooth functioning of the organization.

Proper organisation facilities the intensive use of human capital.Organization stimulates creativity.By providing well defined areas of work and ensuring delegation of authority,Organization provides sufficient freedom to the managers and encourages their initiative,independent thinking and creativity.

It's time to think like a manager. Corporate social responsibility is wonderful, though often criticized as purely rhetorical and laden with subtle profit goals. How can a manger emphasize genuineness of corporate social responsibilities and activities in society?

Answers

The correct answer to this open question is the following.

It's time to think like a manager. And more importantly, it is time to act like a manager and became a true leader.

Corporate social responsibility is wonderful, though often criticized as purely rhetorical and laden with subtle profit goals. That is why is so important that a manager could emphasize genuinely that corporate social responsibilities are a priority for the organization.

One good way to prove that and stop critics is to establish a series of programs and actions that benefit the environment and the community and that could be evaluated by the members of the society.

This includes mass media. Yes, the company has to open its doors and be willing and able to show the results of these programs. If the company has nothing to hide, it will have no problem to show its work and be proud of the monetary results as well as the social responsibility results that benefit the community.

It is the journey and not the destination that counts? is this a growth or fixed mindset?

Answers

Answer: Growth mindset

What are the approaches for learning Economics effectively?

Answers

the linear stages of growth model, theories and patterns of structural change, the international dependency revolution, and the neoclassical theories. The term economic development is a term that economists, politicians, and others have used frequently.

A new body of evidence is emerging in the field of behavioral finance which shows that investors often behave irrationally, but in predictable ways. Explain the following biases that affect the rationality of people's decision-making process: i. overconfidence ii. self-attribution bias
iii. herding

Answers

Overconfidence: Excessive belief in one's abilities and knowledge, leading to overestimation of investment performance. Self-attribution bias: Attributing success to internal factors and failure to external factors, distorting decision-making.

i. Overconfidence: This bias refers to an individual's excessive belief in their abilities and knowledge, leading them to overestimate their investment performance. Overconfident investors may take excessive risks, underestimate uncertainties, and make investment decisions without thoroughly considering all available information.

ii. Self-attribution bias: This bias occurs when individuals attribute their investment successes to their own skills or abilities, while attributing failures to external factors beyond their control. This bias distorts decision-making by inflating one's confidence and overlooking personal mistakes, potentially leading to poor investment choices and a lack of accountability.

iii. Herding: Herding bias describes the tendency of individuals to follow the actions and decisions of others, even if it contradicts rational analysis or information. This bias stems from the belief that others possess superior knowledge or that safety lies in numbers. Herding behavior can amplify market trends, leading to bubbles or crashes, as individual decision-making is influenced more by social conformity than by independent analysis of investment fundamentals.

These biases highlight how irrational behavior can influence investment decisions, leading to suboptimal outcomes and market inefficiencies. Understanding and mitigating these biases is crucial for investors to make more rational and informed choices.

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financial system
A. arrangement that allows the transfer of money between savers and borrowers
B. claim on the property of a borrower
C. redirecting resources from being consumed today to create future benefits
D. collection of financial assets

Answers

The financial system is 'an arrangement that facilitates the movement of money between savers and borrowers' (option a).

It encompasses a wide range of institutions, markets, and instruments that enable the transfer of funds. Financial assets such as stocks, bonds, and other securities represent claims on the property or income of a borrower. The financial system is essential to redirect resources from being consumed today to creating future benefits. It allows individuals, businesses, and governments to invest in projects or activities that generate income or create value over time. The proper functioning of the financial system is crucial for economic growth and development.

Option a is answer.

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In what year did professional soccer become a legalized sport?

Answers

Answer:

1885

Explanation:

Answer:

1863

Explanation:

On December 8 1863, Association Football and Rugby Football finally split into two different organizations after quite some time. Later on in the year, the first ever soccer match was played at Mortlake, London on 19th December 1863 between Barnes Football Club and Richmond Football Club.

Hope this helps!!

ps. plz give me brainliest of possible

1. Juanita worked for several years in her uncle's auto repair shop. She learned how to do all types of repairs. She enjoys getting out and meeting new people. She doesn't like sitting at a desk and working all day on the computer. Her math skills are good, but she did not take any math classes as part of her two-year associate's degree. She is good with people and good in a crisis. She is also detail oriented. Which insurance career listed above would probably be a good fit for Juanita? Why? (8 points)​

Answers

Answer:

she'll be an claim adjuster/investigator she works at repair shop so she can investigate it and see what insurance they need

Explanation:

The insurance career that would probably be a good fit for Juanita based on her math skills would be a Claims Adjuster.

Who are Claim Adjusters ?

Claims adjusters are responsible for investigating and resolving insurance claims. They typically work for insurance companies, but they may also work for independent adjusting firms.

Claims adjusters need to be good with people and be able to handle difficult situations. They also need to be detail-oriented and have good math skills. Juanita's experience working in her uncle's auto repair shop would give her a good foundation for this career. She would also be able to use her math skills to calculate estimates and settlements.

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You've been brought in as a security consultant for a small bicycle manufacturing firm. Immediately, you notice that they're using a centralized key-generating process, and you make a note to dissuade them from that without delay. What problem is created by using a centralized key-generating process?

Answers

Answer: Key transmission

Explanation:

Using a centralized key-generating process always leads to key transmission.

Why do you think it is important to understand GDP?

Answers

GDP is important because it gives information about the size of the economy and how an economy is performing. The growth rate of real GDP is often used as an indicator of the general health of the economy. In broad terms, an increase in real GDP is interpreted as a sign that the economy is doing well

On March 1st, Jared buys Matthew's car for $10,000 and they agree that Jared will pay Matthew the full amount by June 1st. Jared begins making payments to Matthew, but on May 1st, Jared still owes Matthew $5000. On May 1st, Jared sells Sarah his motorcycle for $5000. Jared and Sarah agree that Sarah will not pay Jared $5000, but Sarah will instead pay Matthew the $5000 Jared still owes him. Matthew agrees to receive the $5000 from Sarah. After making this agreement, Jared changes his mind and tells Sarah to pay him on May 1st and not Matthew. Can Jared do this

Answers

Answer: No, an assignment for consideration is irrevocable

Explanation:

The above scenario explains an assignment. An assignment simply occurs when an individual who is regarded as the assignor, transfers benefits to another person who is the assignee.

With regards to the situation in the question, it is not possible for Jared to change his mind and tells Sarah to pay him on May 1st and not Matthew. This is because this is an assignment for consideration which in this situation is irrevocable. The assignment will be deemed ineffective if the assignor doesn't receive consideration for the agreement.

PLEASE SOLVE THIS QUESTION DO NOT USE THE ANSWER TO ANOTHER QUESTION!!!!!! DO NOT USE EXCELL PLEASE!!
KaiKai is a large clothing chain that has 800 retail stores. Weekly demand for size large skinny jeans at each store is normally distributed, with a mean of 1000 and a standard deviation of 150. Each pair of pants costs $40. KaiKai has a holding cost of 25 percent. KaiKai manages all inventories using a continuous review policy, and the supply lead time for products is four weeks. The targeted CSL is 95 percent.
(a) How much safety inventory of size large khaki pants should KaiKai carry?
(b) What should the ROP be?
(c) What is the total value of safety inventory of size large skinny jeans kept by all their stores?
(d) How much is the holding cost per unit sold? NORMSINV(0.95) = 1.65

Answers

KaiKai should carry a safety inventory of 990 size large skinny jeans. The Reorder Point should be 4990. The total value of safety inventory is $39,600. The holding cost per unit sold is $10.

Safety Inventory = z × σ × √LT, where z is the z-value, σ is the standard deviation, and LT is the lead time. In this case, z = 1.65, σ = 150, and LT = 4 weeks.

Safety Inventory = 1.65 × 150 × √4 = 990

KaiKai should carry a safety inventory of 990 size large skinny jeans.

(b) The formula ROP = (Demand per week × Lead time) + Safety Inventory can be used to determine the Reorder Point (ROP). In this instance, the lead time is 4 weeks, the safety inventory is 990, and the demand per week is 1000.

ROP = (1000 × 4) + 990 = 4990

c)  the safety inventory by the cost per unit to determine the safety inventory's overall value. The price per unit in this instance is $40

Total Value of Safety Inventory = Safety Inventory × Cost per unit

                                                    = 990 × $40 = $39,600

(d) Holding Cost per Unit Sold = Holding Cost Rate × Cost per unit

                                                   = 0.25 × $40 = $10

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You write a call option on a stock for a premium of $1.00. The exercise price is $11.75. What is the option's profit or loss if just prior to expiration the stock price is $11.25? a. $0.00 b. $1.00 c. ($1.00) d. $0.50 e. ($0.50)

Answers

The option's profit or loss can be calculated by comparing the exercise price and the current stock price. In this case, the exercise price is $11.75, and the stock price is $11.25 just prior to expiration. Since the current stock price is less than the exercise price, the option is out of the money and not worth exercising.

Therefore, the option holder would lose the premium of $1.00 that they paid to purchase the option. This means that the option's profit or loss would be option c. ($1.00). The option writer, on the other hand, would make a profit of $1.00 from selling the option premium, as they do not have to pay anything to the option holder.
It is important to note that option trading involves significant risks, and investors should carefully consider their financial goals and risk tolerance before participating in such activities.

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State a reason to justify that marketing is a beneficial concept.​

Answers

Answer: marketing is beneficial to customers because they can receive lower price they can receive new and improved products and it is also beneficial to the business because it allows businesses to maintain long-lasting and ever-present relationships with their audience

Which component within a corporation elects the board of directors?
(middle school)


A) shareholders


B) all the vice presidents


C) workers


D) the president

Ω Entity001 And Project Ω

Answers

Answer:

A. shareholders

Explanation:

i took the quiz sorry i did not do it sooner

Example metrics of success for usability testing

Answers

Usability testing is a critical aspect of the user-centered design process that aims to evaluate the effectiveness, efficiency, and satisfaction of a product. Some example metrics of success for usability testing include task completion rate, time on task, error rate, user satisfaction, and user retention rate.

To measure the success of usability testing, it is important to define relevant metrics that reflect the goals of the testing process. Task completion rate measures the percentage of users who can complete a specific task successfully, while time on task evaluates the amount of time users take to complete a task.

Error rate measures the number of errors users make while completing a task, and user satisfaction assesses how satisfied users are with the product. Finally, the user retention rate evaluates the percentage of users who continue to use the product after the testing process. By tracking these metrics, usability testers can determine the effectiveness of their design choices and make informed decisions to improve the product.

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How can project management offices (POs) support effective project management?

Answers

PMOs provide project manager with the technical guidance they may need to decide on the best course of action for their projects. These services include general planning, estimation of the budget, scheduling, procurement, and the selection of the appropriate project management metrics.

A project manager is a brief, one-of-a-kind endeavor that has a defined beginning and end and is intended to produce a good, useful change or added value. It is typically time-constrained, and is frequently constrained by funding or staffing.

The transient character of projects contrasts with business as usual (or operations), which are recurring, scheduling , or semi-continuous functional activities that create goods or services. In practice

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If a unionized company has a(n) ______ shop, the workers do not have to join the union, and they do not pay dues or fees to the union.
managed

open

closed

union

agency

Answers

Closed I think.
I haven’t done this in a while

The workers do not have to join the union or pay the dues or fees to the union, only when there is an open shop owned by the unionized company. Hence, Option B is correct.

What is a unionized company?

There are two types of organizations, one is unionized and the second is non-unionized. Both the companies have employees. In a unionized company, the employees usually do not receive any kind of special or individual treatment from the employers. Whereas in a non-unionized company, the employees have the right to negotiate on their behalf of themselves and simultaneously an employer also has the right to treat the employees differently.

When a company is having a working culture of unionized pattern, the employees also belongs to the trade unions. There is a particular pattern of raising the pay that after the end of three years of duty, there will be a rise of almost 12%.

Thus, Option B is correct.

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which part of our body is affected by plogue pose?​

Answers

Answer:

spine and shoulders are affected

The spine and the shoulders of our body part are mostly affectd by the plogue pose. It stretches our body muscles.

Plow Pose

It is a stretching exercise which keeps your body fit and flexible.

Doing stretching exercise regularly benefits the body mucles and tendons.

The plow pose is a stretching exercise where one positions his/her body upside down and keeps their feet bend over the head.

This pose affects our spine and also our shoulders.

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which part of our body is affected by plogue pose?

If I am convinced that my own neighborhood is safer than it used to be, but that the crime rate in my society is at an all-time high, I am falling victim to...
A) Probability neglect
B) Shifting the burden of proof fallacy
C) Presumptive pessimism

Answers

Answer:

A) Probability neglect

Explanation:

You probably have lived there so long that you neglect to see what the true crime is, and you honestly could care less if its at it all time high

Answer:

A) Probability neglect

Explanation:

its neglectful if you do this

Assume the Federal Reserve increases the money supply.
A Identify an open market operation they might use to increase the money supply.
B Explain how an increase in the money supply will affect nominal and real interest rates.
C Explain how the change in interest rates caused by an increase in the money supply will impact each of the determinants of aggregate demand (C, I, G, Xn).

Answers

A central bank can increase or decrease the number of reserves in the banking system and therefore affect the nation's money supply by buying or selling bonds, bills, and other financial instruments on the open market. When the central bank sells these securities, it removes funds from the economy.

What happens when the FR increases the money supply?

A rise in the money supply has two effects: it lowers interest rates, which encourage investment, and it puts more money in the hands of consumers, which makes them feel wealthier and encourages consumption.

Through open market operations, the Fed can alter the amount of money in circulation. The Fed can expand the money supply by exchanging cash for the purchase of government assets.

The central bank's monetary policy is comprised on open market activities. For instance, policymakers use instruments like interest rates, reserves, bonds, etc. to manage the flow of money in order to increase employment, GDP, and price stability.

To purchase or sell securities to banks, the Fed employs open market operations. The Fed provides banks with additional funds to maintain as reserves on their balance sheets when it purchases assets. When the Fed sells securities, it depletes the money supply by removing funds from banks.

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3. ______ are defined as goods or services that are required for health and safety.

Answers

Occupational Health and Safety are defined as goods or services that are required for health and safety. Information standards are guidelines governing the information that must be provided to consumers when they purchase specific goods.

What is the safety of goods?

A safe product is one that delivers either no risk or a minimum tolerable level of risk, taking into account the product's typical or reasonably foreseeable use and the need to maintain a high level of consumer protection.

Occupational health and safety is a multidisciplinary discipline that deals with all elements of workplace health and safety, with a heavy emphasis on preventing workplace dangers.

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What are the accounting differences between cash and receivables from the perspective of a buyer? A seller? How are these differences changed by the accounting basis (cash vs. Accrual) an organization chooses?

Answers

Answer:

From a buyer's perspective, a sale made on credit represents a liability. While a sale made on cash represents a decrease of current assets.

From a seller's perspective, a sale made on credit or cash increases current assets, but the possibility of a bad debt always exist, therefore, accounts receivables must be periodically adjusted due to bad debts.

If the seller or buyer uses accrual accounting system, the previous description holds, but if they use cash basis accounting, things change a lot. When use cash basis, transactions are recorded only when cash is exchanged, so accounts receivables do not actually increase assets (seller's perspective), and accounts payables do not increase liabilities (buyer's perspective).

If I am to leave a place at 12:00 am and it is 9:35 am now, How long until I leave at twelve?

Answers

If you leave at 12 am and it is 9:35 am that would be a full 14 hours and 25 minutes

What contributed most to the economic problems of the 1970s?

Answers

The economic problems of the 1970s were caused by a combination of factors. One of the major contributors was the 1973 oil crisis.

Oil crisis caused a sharp rise in oil prices and a flow effect of higher inflation, unemployment, and declining economic growth. The early 1970s saw a dramatic increase in labor costs, that make it difficult for businesses to remain competitive.

All the factors combined among each other to create an economic environment of instability, rising prices, declining economic growth, key to a recession in mid 1970s. Other major contributors included the Vietnam War and the Nixon Shock, both of which caused sharp rise in government spending and also decreases the consumer confidence.

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This table can be used to organize Gigi’s credit card balances and payments over 6 months. The annual percentage rate on the credit card is 14%. Gigi’s Credit Card Payments Month Balance Payment Interest Rate Interest Charged 1 $650 $300 0.01167 $4.08 2 $354.08 $50 0.01167 3 $307.63 $50 0.01167 4 $260.64 $50 0.01167 5 $213.10 $50 0.01167 6 $165 $50 0.01167 What is the amount of interest charged for the first 6 months? $

Answers

Answer:

-16.34

Explanation:

Disclaimer: I am not sure, sorry. It might be -16.34, 16.34, or 15.75. Once again, sorry.

Answer:

$16.34

Explanation:

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extended producer responsibility laws require electronics manufacturing companies to take responsibility for disposal of waste generated by products.

Answers

Extended producer responsibility laws require electronics manufacturing companies to take responsibility for the disposal of waste generated by their products.
Extended producer responsibility (EPR) laws are regulations that aim to hold manufacturers accountable for the entire lifecycle of their products, including their disposal. In the case of electronics manufacturing companies, EPR laws require them to take responsibility for the proper and safe disposal of the waste generated by their products.

Here is a step-by-step explanation of how EPR laws work in relation to electronics manufacturing:

1. Waste generation: Electronics manufacturing companies produce a significant amount of waste, including outdated or faulty electronic devices, as well as components and materials used during the manufacturing process.

2. EPR implementation: EPR laws are put in place to ensure that these companies bear the responsibility for the proper management and disposal of this waste. This means that they are legally obligated to handle the collection, recycling, and safe disposal of their products and related waste.

3. Collection systems: To comply with EPR laws, electronics manufacturing companies must establish or participate in collection systems. These systems allow consumers to return their electronic devices at the end of their lifespan or when they are no longer needed.

4. Recycling and disposal: Once collected, the waste is then processed through various recycling methods to recover valuable materials and minimize the environmental impact. Proper disposal methods are also employed for components that cannot be recycled.

5. Financing: EPR laws often require manufacturers to provide financial resources to support the implementation of these waste management systems. This can include fees or levies on their products to cover the costs associated with collection, recycling, and disposal.

By implementing EPR laws, electronics manufacturing companies are incentivized to design products with end-of-life considerations in mind, promote recycling, reduce waste generation, and minimize environmental harm.

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Your work counts towards your score, You can submit show my work an unlimited number of times marketing occurs when firms market to organizations that acquire goods and services in the production of other goods and services that are then sold or supplied to others. true or false? Which of the following is a false statement? (1) Tan 0 is undefined whenever cos e equals zero. (2) Tan 0 equals zero whenever sin 0 equals zero. (3) Sin 8 can equal cos & in Quadrant I or Quadrant III of the unit circle. (4) Sin can equal cos 0 only in Quadrant I of the unit circle. examples of symbolic traditions that tie together cultural and religious life by reminding jewish people of their history are.... You are playing a game with a friend. It costs you $2 to play. If you roll a 1 on a 6-sided die you win $4. If you roll a 2, 3, 4, 5, or 6 you win nothing and lose $2 the cost to play. How much should the player be willing to pay to play this game and not lose money in the long run? une values of , y and z. 2. The function f is defined, for x > 0, by Inc ka f(3) = k where k is some positive constant. Determine the values of k for which f has critical (or stationary) points. 2+1 F Assignment - Look at the list below of the chivalry code rules. For each virtue, write down at least one way you could show or try to show an example of each in your modern life.TRUTH -HONOR -JUSTICE -VALOR -PROWESS -LOYALTY -LARGESSE - COURTESY -NOBLESSE -HUMILITY - Solve the following word problems using your knowledge of trigonometry: 3. A rope is stretched from the top of a vertical pole to a point 10.5 m from the bottom of the pole.The rope makes an angle of 28'with the pole.How tall is the pole? the same data can be provided to you in many different ways. below are four extracts of the same data. the first extract is properly formatted for import into the company database. notice, that this extract uses a pipe delimiter, puts each unique record on a different row, and uses text qualifiers of a single quote when commas are present. your task is to discuss how to transform the other extracts so they can be imported into the company database. What lessons investors learned through economic or financial crisis:1. Through LTCM crisis, investors learned about limits of arbitrage.2. Through Covid 19 crisis, investors learned that lognormal assumption for many derivative contracts such as options may not be correct; in other words, the price of an asset can be negative in the real world.3. Through Covid 19 crisis, investors learned that ESG (Environmenal, Social, and Governance) concept of a firm should be valued higher.4. Through LTCM crisis, the option investors learned to smirk (through the implied volatility curve).1,22,31, 2, 3, 41, 2, 3