You Deposit $10,000 into an Account and Purchase 600 Shares

question 67

Multiple Choice

You deposit $10,000 into an account and purchase 600 shares of stock at a price of $29 per share on margin. What is your initial margin?

• A) 46%
• B) 65%
• C) 57%
• D) 50%
• E) 43%

---

Definitions:

Director's Liability

Refers to the legal responsibility of a company's directors to act in the best interest of the company, shareholders, and stakeholders, with potential personal liability for breaches of duty.

Fiduciary Duty

A legal or ethical relationship of trust where one party, the fiduciary, acts in the best interest of another, the principal or beneficiary.

Delaware

A state in the United States known for its business-friendly laws and courts, which make it a popular jurisdiction for incorporating companies.

Publicly Traded Corporations

Companies whose shares are offered for sale to the general public through a stock exchange.