Challenge The national order book for shares of ABC Corp. is…

Challenge The national order book for shares of ABC Corp. is: National Order Book Asks /Limit Sell Orders       Price Shares Dealer Ask $94 1,250   $93 313   $92 250   $91 63 Best Ask $90 25         Bids /Limit Buy Orders   Price Shares Best Bid $88 120   $87 300   $86 1,200   $85 1,500 Dealer Bid $84 6,000       Suppose a market order to buy 500 shares arrives from a fund manager. At what weighted-average price will this order be filled? (note: this spreads are unrealistically large. In reality, they would be $0.01) Enter your answer as a number of dollars, rounded to the nearest $0.01.

A research analyst at an index fund company pulled the follo…

A research analyst at an index fund company pulled the following price data on the stocks of ABC, DEF, and GHI. The index fund company is considering building a price-weighted index of the three stocks. Stock Price Information Stock Price Time 0 Time 1 ABC $10.00 $15.75 DEF $20.00 $15.75 GHI $30.00 $31.25   During this period, what was the percent change in the level of the index?

Suppose that you just short sold 100 shares of ABC stock for…

Suppose that you just short sold 100 shares of ABC stock for $50 per share. The initial margin requirement is 60%, which you cover by pledging T-bills as collateral. If the price of the stock falls to $41 per share, what return did you earn? Ignore the interest earned on T-bills.

Challenge The national order book for shares of ABC Corp. is…

Challenge The national order book for shares of ABC Corp. is: National Order Book Asks /Limit Sell Orders       Price Shares Dealer Ask $127 6,000   $126 1,500   $125 1,200   $124 300 Best Ask $123 120         Bids /Limit Buy Orders   Price Shares Best Bid $121 25   $120 63   $119 250   $118 313 Dealer Bid $117 1,250       Suppose a market order to sell 500 shares arrives from a fund manager. At what weighted-average price will this order be filled? (note: this spreads are unrealistically large. In reality, they would be $0.01) Enter your answer as a number of dollars, rounded to the nearest $0.01.

Consider an initial public offering of 40 million shares. Th…

Consider an initial public offering of 40 million shares. The offer price is $70 per share with an underwriting fee of 2.0 percent of the total raised. Suppose the price of the stock jumped to $80 per share during its initial trading in the market. How much money did the issuing corporation leave on the table?