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NEW QUESTION: 1
A. Option A
B. Option B
C. Option D
D. Option C
Answer: C
NEW QUESTION: 2
CORRECT TEXT
Which of the following statements, if any, needs to be executed before the variable A can be used?
DCL A CHAR(5) CONTROLLED;
A. Nothing needs to be done.
B. FREE A;
C. ALLOCATE A;
D. FETCH A;
Answer: C
NEW QUESTION: 3
The initial Federal Reserve Bank margin requirement is set at 60% and Bubba purchases 100 shares of XYZ at $100 per share. He deposits $6,000 of the $10,000 purchase price in his account.
If XYZ increases in value to $150 per share, how much excess equity would Bubba have in his account?
A. $1,000
B. $3,000
C. $1,500
D. $2,000
Answer: D
Explanation:
Explanation/Reference:
Explanation: $2,000. Bubba started with $6,000 of equity and a debit balance of $4,000. The market value of his XYZ stock increased by $5,000 ($15,000 - $10,000). Therefore, his equity increased to $11,000.
Since Bubba only needs 60% equity, his Reg T requirement is $9,000 ($15,000 x 60%). His equity exceeds the requirement by $2,000.
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