441 11

441 11 - Intel Equity Borrowed Stock Interest $40 15,000...

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Intel $40  Equity 15,000 Borrowed 5,000 Stock 20,000 Interest  8% (I) (500*44-5,400)-15,000 = 10.67% 15,000 (ii) (20,000-5,400)-15,000 = -2.67% 15,000 (iii) (18,000-5,400)-15,000 = -16% 15,000 As percentage change in price goes up the return goes up by a higher amount and if the price goes down by the
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This note was uploaded on 10/14/2008 for the course FBE 441 taught by Professor Callahan during the Fall '07 term at USC.

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441 11 - Intel Equity Borrowed Stock Interest $40 15,000...

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