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Assume you just purchased 250 shares of Home Depot at $40 per share and 50 percent of this was purchased on the margin Fill in the blanks to determine your contribution to this transaction

Assume you just purchased 250 shares of Home Depot at $40 per share and 50 percent of this was purchased "on the margin." Fill in the blanks to determine your contribution to this transaction: Total cost ……………………….. $______ Amount borrowed ………………. -______ Contribution …………………….. ______ What would happen to your investment if the price of Home Depot stock rose to $50 per share (ignoring any possible dividends)? Total value ……………………… $______ Loan ……………………………. -______ Margin ………………………….. ====== What was your profit? What would happen to your investment if the price of Home Depot stock fell to $30 per share (ignoring any possible dividends)? Total value ……………………… $______ Loan ……………………………. -______ Margin ………………………….. ====== What was your loss?

Jun 16 2020 View more View Less

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