You want to short 1,000 shares of Tesla stock which is currently selling for $52. The dealer offers you a short position with an initial margin of 50% with a maintenance margin of 15%. The continuously compounded, annual interest rate is 3.5%, and the lender offers a rebate rate of 0.5% (cont. comp., annual). At what price do you receive a margin call? If the lender deposits your rebates into your margin account, at what price do you receive a margin call?

Q: Friendly's Quick Loans, Incorporated, offers you $7.50 today but you must repay $9.85 when you get…

A: We need to use effective annual return (EAR) formula below.EAR =( 1 +Periodic interest rate)number…

Q: The Perpetual Life Insurance Company is trying to sell you an investment policy that will pay you…

A: Perpetuity is the stream of cash flows or payments that are made at equal intervals that do not have…

Q: You plan to purchase a house for $166,000 using a 15-year mortgage obtained from your local bank.…

A: Discount points refer to the optional fees (extra charges) over the agreed stated interest rate on a…

Q: A real estate broker decides to lease a car for 36 months. Suppose the annual interest rate is 7.8%,…

A: Monthly lease payment refers to the payment made on monthly basis for the repayment of the lease…

Q: ssume that you wish to trade in your old car and buy a new car. The new car has a list price of…

A: Price of new car=$26983.54Number of payments=n=72Monthly rate=r=3.84/12=0.32%

Q: The Nguyens are thinking of buying a home for $121,000. A potential lender advertises an 80%,…

A:

Q: The price of a small cabin is $55,000. The bank requires a 5% down payment. The buyer is offered two…

A: Note: No intermediate rounding is done for calculation in the successive steps.   Cost of cabin is…

Q: Friendly's Quick Loans, Inc., offers you $8.25 today but you must repay $10.45 when you get your…

A: Given: Particulars Amount Present value $8.25 Future value $10.45

Q: riendly’s Quick Loans, Inc., offers you $7.75 today but you must repay $9.85 when you get your…

A: Effective interest is the interest rate after considering the impact of compounding of interest and…

Q: You plan to invest $10,000 for 180 days. Your bank offers a rate of 2.60% on 90-day GICS and 2.85%…

A: We have in The Question, Principal = $10,000 Period = 180 days OPTION-1 90 Days GIC Interest Rate =…

Q: The price of a home is $120,000. The bank requires a 15% down payment. The buyer is offered two…

A: Please find Answer belowExplanation:Step 1:Let,s calculate the monthly payment for the 15-year…

Q: a. What effective annual interest rate does the firm earn when a customer does not take the…

A: Companies give discount to the customers for early payment and that is cost to the company and that…

Q: Use PMT= to determine the regular payment amount, rounded to the nearest dollar. The price of a…

A: Mortgages are covered loans provided by financial institutions for the purchase of the real estate.…

Q: When you buy a certificate of deposit (CD), you are investing your money in an account that earns…

A: The formula used to compute final worth of CD as follows: A=P1+rnnt

Q: An insurance company offers a retirement annuity that pays 100,000 per year for 15 years, gorwing at…

A: An Annuity is a stream of regular periodic payments made or received for a specified period of time…

Q: If your Visa credit card has an APR of 14.49%, compounded monthly and your current balance is…

A: APR is 14.49% Compounded monthly Current Balance is $425.69 Time period 1 year Minimum monthly…

Q: What is the annual percentage rate ( APR) of the loan?

A: The annual percentage rate is an annual interest rate used to represent the cost of borrowing. It…

Q: You have $1000 in an account earning 4% APR compounded daily.  At the same time, you are to pay a…

A: Interest rate compounded daily is 4% Amount in account(PV) is $1000 Amount needs to pay in future…

Q: You have credit card debt of $30,000 that has an APR (monthly compounding) of 18%. Each month you…

A: Monthly Interest rate of old card=18%/12=1.5%Interest payment of old card per month=$30000*1.5%=…

Q: A CD, or “certificate of deposit,” is a type of savings account with a fixed rate and term, meaning…

A: Variables in the question:Initial deposit = $2200APR = 0.26% (compounded monthly)N=10 years

Q: You buy a home for $182,251 and put $13,298 down. You borrow the remainder. The mortgage company…

A: The Annual Percentage Yield (APY) is a financial metric that quantifies the annualized rate of…

Q: when

A: !!!The amount of the deposit will grow on a daily basis, At the end of five years, the amount must…

Q: Please correct answer and don't use hend raiting

A: If you find this answer good please rate it helpful. If any query then raise it.Thank You!

Q: You want to buy a Ford SUV with a list price of $48,000. Dealer A offers to sell it for a discount…

A: PMT is the periodic payment.

Q: Suppose that the seller of a home has accepted your offer of $175,900 to purchase the home.Suppose…

A: A mortgage loan is a loan that is used by an individual to raise funds to purchase a home and other…

Q: Using the Simple Inteest equation, determine the lowest interest amount and the lowest monthly…

A: Offer A  Interest Rate = 7% Monthly Interest rate(rA) = 7%/12 =0.5833% Years  = 5 Terms(nA) = 5*12 =…

Q: nd the interest rates earned on each of the following. Round your answers to the nearest whole…

A: Interest is the amount paid above the amount and is profit earned on the initial investment made.

Q: A store offers two payment plans. Under the installment plan, you pay 25% down and 25% of the…

A: a-1Present value = Cash flow/(1+interest)^number of years that is present value=

Q: You want to buy a new sports coupe for $77,500, and the finance office at the dealership has quoted…

A: Compound = n = Monthly = 12Present Value = pv = $77,500Interest rate = r = 5.9 / 12Time = t = 48

Q: The price of a condominium is $127,000. The bank requires a​ 5% down payment and one point at the…

A: Required down payment = $127,000 * 5% = $6350 Amount of Mortgage = $127000 * 95% = $120650 One point…

Q: Find the interest rates earned on each of the following. Round your answers to the nearest whole…

A: The question is related to rate of interest. Interest rate is calculated with the help of following…

Q: 7) A businessman wants to buy a truck. The dealer offers to sell the truck for either $120,000 now,…

A: Interest rate is the percentage at which interest is charged or paid on a principal amount over a…

Q: A supplier will give Shark Unibase Company a discount of 2% if an invoice is paid 60 days before its…

A: The credit policy of the supplier allows the company to avail a discount of 2% if the invoice is…

Q: Using an annual effective interest rate of 8%, determine X.

A: To determine the value of X, we need to calculate the present value of the cash flows using the…

Q: Live Forever Insurance Company is selling a perpetual annuity contract that pays $2,700 monthly. The…

A: An annuity is a financial product where you make regular payments, and in return, you receive a…

Q: Assume that you wish to trade in your old car and buy a new car. The new car has a list price of…

A: =$12235.13

Q: You want to buy a new sports coupe for $75,400, and the finance office at the dealership has quoted…

A: The idea of figuring out a loan's monthly payment and effective annual rate (EAR) is the foundation…

Q: SBC Inc. owes your firm $90,000. This amount is seriously delinquent so your firm has offered to…

A: Loan amortization is a systematic repayment of loan amount that includes both interest and principal…

Q: A company can borrow $780000 for 5 years by issuing bonds, on which interest is paid monthly at = 8%…

A: The periodic cost can be found by using the PMT function where monthly rates, the number of months,…

Q: You decide to originate the loan, but move at the end of 5 years. What is the remaining balance you…

A: Loan Amount  $                   3,00,000.00 Time Period 30 Years Interest Rate 7.20%

Q: You buy a home for $177,831 and put $11,459 down. You borrow the remainder. The mortgage company…

A: Loan is one of the alternative of financing. An individual or organization who is taking the loan…

Q: You have just purchased a new warehouse. To finance the purchase, you've arranged for a 34-year…

A: Loan period: 34 yearsPurchase price: $3,240,000Monthly payment: $15,700Loan percentage: 80%

Q: The price of a small cabin is ​$65,000. The bank requires a​ 5% down payment. The buyer is offered…

A: Mortgage  A loan that is taken from the banks/financial institutions by the borrower which helps the…

Q: You can buy a car that is advertised for $20,520 on the following terms: (a) pay $20,520 and receive…

A: Zero percent financing, often used in the context of car purchases, is a financing arrangement where…

Q: What is the approximate amount of each payments that Yumati will need to​ make?

A: Here is the calculation for the above question.