You are buying stock A on margin (1,000 shares). The interest rate on the margin loan is 12% per year. At the initiation of your trade, the bid price is $98, and the ask price is $104. Moreover, the initial margin is set to be 70%, and the maintenance margin is set to be 40%. Your investment horizon is one year. Suppose that the stock price hits zero at the end of your investment horizon. Calculate the return on equity (ROE) at the end of your investment horizon.

Double corporation acquired all of the common stock of simple company for

The larger the investment you make, the easier it will be to: get money from other sources. guarantee cash flow. buy insurance. streamline your products.

Shelby company produces three products: product x, product y, and product z. data concerning the three products follow (per unit): product x product y product z selling price $ 85 $ 65 $ 75 variable expenses: direct materials 25.50 19.50 5.25 labor and overhead 25.50 29.25 47.25 total variable expenses 51.00 48.75 52.50 contribution margin $ 34.00 $ 16.25 $ 22.50 contribution margin ratio 40 % 25 % 30 % demand for the company’s products is very strong, with far more orders each month than the company can produce with the available raw materials. the same material is used in each product. the material costs $8 per pound, with a maximum of 4,400 pounds available each month. required: a. compute contribution margin per pound of materials used. (round your intermediate calculations and final answers to 2 decimal places.) contribution margin per pound product x $ product y $ product z $ b. which orders would you advise the company to accept first, those for product x, for product y, or for product z? which orders second? third? product x product y product z