Cristiano Ronaldo purchased 200 shares of stock at $50 per share using an initial margin of 70%. After one year, he decided to sell his shares at $60 per share. Calculate the new margin. O a. 75% O b. 42% Oc. 70% O d. 60%

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Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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Cristiano Ronaldo purchased 200 shares of stock at $50 per share using an initial margin of 70%. After one
year, he decided to sell his shares at $60 per share. Calculate the new margin.
O a. 75%
O b. 42%
70%
O d. 60%
Cristiano Ronaldo sells short 200 shares of common stock at $40 per share. One year later, he purchases the
shares at $50 per share. If you knew that the initial margin is 80%, calculate the new margin.
O a. 77%
Ob. 44%
Oc.
88%
d. 55%
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Transcribed Image Text:YULMS English (en) - Time left 0:08:17 Cristiano Ronaldo purchased 200 shares of stock at $50 per share using an initial margin of 70%. After one year, he decided to sell his shares at $60 per share. Calculate the new margin. O a. 75% O b. 42% 70% O d. 60% Cristiano Ronaldo sells short 200 shares of common stock at $40 per share. One year later, he purchases the shares at $50 per share. If you knew that the initial margin is 80%, calculate the new margin. O a. 77% Ob. 44% Oc. 88% d. 55% Next page
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