A Stock Purchase of 100 Shares of CN at $30

question 30

True/False

A stock purchase of 100 shares of CN at $30 per share requiring a 30% margin means you would need $900 cash to make the purchase.

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Definitions:

Probability Distribution

A mathematical function that describes the likelihood of obtaining the possible values that a random variable can assume.

Uncertainty

The state of having limited knowledge where it is impossible to exactly describe an existing state or future outcome.

Specific Risk

Risk affecting a narrow segment of the market, often associated with individual companies or industries, distinct from broad market risk.

Beta

In finance, a measure of a stock's volatility relative to the overall market.