Info
Warning
Danger
 /  Homework Answers  /  Finance  /  Week 2 Assignment Questions Use a Cover

Question : Week 2 Assignment Questions Use a Cover

Week 2 Assignment Questions

Use a Cover Sheet, and. Upload to LiveText. Week 1 Assignment consists of four (4) questions from Chapter 2.

Chapter 3 Questions

Question 1

A market order has:

Price uncertainty but not execution uncertainty.

Both price and execution uncertainty.

Execution uncertainty but not price uncertainty.

Briefly explain your choice.

Question 3

ABC has just sold 100,000 shares in an initial public offering. The underwriter’s explicit fees were $70.000. The offering price for the shares was $50.00, but immediately upon issue, the price jumped to $53.00 a share.

What is your best guess to the total cost to ABC of the equity issue?

Is the entire cost of the underwriting a source of profit to the underwriters?

Question 4

If you place a stop-loss order to sell 100 shares of stock at $55.00 when the current price is $62.00, how much will you receive for each share if the price drops to $50?

$50.00

$55.00

$54.87

Cannot tell from the information given.

Chapter 4 Questions

Question 1

The Open Fund is a closed-end investment company with a portfolio currently worth $200 million. It has liabilities of $3 million and 5 million shares outstanding.

What is the NAV of the fund?

If the fund sells for $36.00 a share, what is its premium or discount as a percent of net asset value?

Question 2

The closed fund had average daily assets of $2.2 billion last year. The fund sold $400 million worth of stock and purchased $500 million during the year. What was it’s turnover ratio?

Solution
5 (1 Ratings )

Solved
Finance 6 Months Ago 57 Views
This Question has Been Answered!
Expert Answer

Unlimited Access

Explore More than 2 Million+
  • Textbook Solutions
  • Flashcards
  • Homework Answers
  • Documents
Signup for Better Grades!

Ask an Expert

Our Experts can answer your tough homework and study questions
275782 Finance Questions Answered!
Post a Question