Michael Purchased 1000 Shares of Stock at a Price of $16

question 107

Multiple Choice

Michael purchased 1000 shares of stock at a price of $16 a share.He utilized his 50% margin account to make the purchase.What is Michael's initial equity in this investment?

• A)-$16,000
• B)$16,000
• C)$8,000
• D)-$8,000

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Definitions:

Total Disclosure

The act of revealing every piece of relevant information or fact without withholding anything, often in the context of communication or negotiation.

Real Feelings

Real feelings refer to genuine emotions and expressions that are not fabricated or influenced by external factors.

Listening Comprehension

refers to the ability to understand the meaning and implications of auditory messages and spoken language.

Efficiency

The ability to achieve a goal or complete a task with minimum waste of time, effort, and resources.