The Amount of Funds Needed to Buy 100 Shares of a Stock

question 5

Multiple Choice

The amount of funds needed to buy 100 shares of a stock at $80 a share with a margin account and an initial margin requirement of 50% is

• A)$4,000.
• B)$5,600.
• C)$6,400.
• D)$2,400.

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Definitions:

Vicarious Reinforcement

Learning that occurs by observing the reinforcement or punishment of another person's behavior.

Good Behavior Tokens

A system used to reinforce positive behavior, where individuals earn tokens for demonstrating desirable actions that can later be exchanged for rewards.

Instincts

Natural and usually unchanging behaviors exhibited by animals when triggered by specific stimuli.

Reflexes

Automatic, involuntary responses or actions to specific stimuli, serving as basic mechanisms of the nervous system.