You purchased 100 shares of common stock on margin at $60 per share. Assume the initial margin is 60% and the stock pays no dividend. What would the maintenance margin be if a margin call is made at a stock price of $40? Ignore commission and interest on margin.

The answer is 0.46

Explanation:

Firstly, 100shares x $60 x0.6

=$3,600

Step 2:

$3,600 x 0.6

=$2,160

Step 3:

100 x $40 - $2,169/100 x$40

$4,000 - $2,160/$4,000

$1,840/$4,000

0.46

month 1 start amount =$3287.90 interest=(3287.90x0.0145/12)3.97 total to pay=$3291.81 paid =$1200 balance =$2,091.87

month 2 starting amount= $2,091.87 interest =$25.28 total to pay =$2117.15 paid =$1200 balance $917.15

month 3 starting amount =$917.15 interest =$11.08 total to pay =$928.23 paid =$928.23 balance =$0 total to pay 1200+1200+928.23 = $3328.23 it will take 3 months to pay a total of $3328.23

ans.

heterothermic organisms include those organisms that can switch between homeothermic (having body temperature higher than environment) and poikilothermic (having variation in internal body temperature) strategies.

some migratory birds show heterothermy as they decrease their metabolic rate during cold nights to keep their body temperature low. drop in metabolic rate allows increase in production efficiency of birds that reduces the internal body temperature to make it equal to external cold temperature during cold nights.

thus, the correct answer is 'birds allow their temperature drop in order to increase their production efficiency.'