Ina Purchased 800 Shares of Detroit Motors Stock at a Price

question 94

Multiple Choice

Ina purchased 800 shares of Detroit Motors stock at a price of $55 a share.The initial margin requirement is 65 percent and the maintenance margin is 30 percent.The effective interest rate on the margin loan is 4.69 percent.How much margin interest will she pay if she repays the loan in seven months?

• A)$387.29
• B)$401.32
• C)$417.29
• D)$530.42
• E)$647.96

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Definitions:

Meta-analysis

A statistical technique that combines the results of multiple scientific studies to arrive at a conclusion that has greater statistical power than any of the individual studies.

Effect Sizes

Measures used in statistics to quantify the magnitude of a particular effect or difference found in a scientific study, facilitating comparison across studies.

Comprehensive Meta-analysis

An extensive statistical analysis that combines the results of multiple scientific studies to draw broader conclusions.

REBT

Rational Emotive Behavior Therapy, a form of psychotherapy that emphasizes the role of thinking in the development and maintenance of emotional and behavioral issues.