Highfield Securities buys a $100,000 par value Treasury bond futures contract. There is an initial margin requirement of $3,475 and a margin maintenance requirement of $1,575. Assume Maxwell’s investment is for 6 months. To have a 100 percent annualized return on the initial $3,475 margin, by what percent of par value must the bond increase? Round your answer to the nearest basis point (i.e. xx.xx%)

A stock with a current market price of $44 and a strike price of $56 has an associated put option priced at $17.50. What is the time value of this put? Round your answer to the nearest penny.

Detroit Imports has a dividend payout ratio of 39 percent and annual dividends of $3.89 per share. What is the retention ratio?

Assume an investor writes a call option for 100 shares at a strike price of 70 for a premium of 4.92. This is a naked option. What would the gain or loss be if the stock closed at $78.05?

Suppose an investor sells Lach Farming’s stock short, but wants to limit her potential losses. How can the investor use stock options to limit her losses?

A farmer sells futures contracts at a price of $2.42 per bushel. The spot price of corn is $2.24 at contract expiration. The farmer harvested 12,100 bushels of corn and sold futures contracts on 10,000 bushels of corn. Ignoring the transaction costs, how much did the farmer improve his cash flow by hedging sales with the futures contracts?

Maastricht, Inc. has paid a dividend of $6 per month and has done so for the last 50 years. Assuming the discount rate of 18%, find the price of this stock

The bookkeeper of Fire Steel, Inc. recorded a $1501 check as $15,010 in payment of the current month’s rent. Which of the following journal entries is needed to adjust for this error in the books of the company?

Which of the following amounts would be reported as Merchandise Inventory on the balance sheet of a company if the cost of an item is $130 and the current replacement cost is $90?

The following information is available for Jack’s, Inc. for the current month.Book balance end of month$7000​Outstanding checks650​Deposits in transit3500​Service charges110​Interest revenue50​What is the adjusted book balance on the bank reconciliation?