ing for $30.00 a share. What is the gain or loss on the following transactions? Use a minus sign to enter the amount as a negative value. Round your answers to the nearest cent. You take a long position and the stock’s price declines to $16.85. $ You sell the stock short and the price declines to $16.85. $ You take a long position and the price rises to $43.65. $ You sell the stock short and the price rises to $43.65.

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter8: Basic Stock Valuation
Section: Chapter Questions
Problem 21MC
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A stock is currently selling for $30.00 a share. What is the gain or loss on the following transactions? Use a minus sign to enter the amount as a negative value. Round your answers to the nearest cent.

 

  1. You take a long position and the stock’s price declines to $16.85.

    $  

  2. You sell the stock short and the price declines to $16.85.

    $  

  3. You take a long position and the price rises to $43.65.

    $  

  4. You sell the stock short and the price rises to $43.65.

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