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Question 6: On January 1, 2019, you assumed a short-sale of 550 shares of XYZ...

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Question 6: On January 1, 2019, you assumed a short-sale of 550 shares of XYZ stocks for 6 months. Assume that XYZ stock does not pay dividends. The bid and ask prices for the applicable dates are given below: Date January 1, 2019 July 1, 2019 Bid Price $65.75 $72.15 Ask Price $66.25 $72.73 A 0.5% commission rate is assumed to engage in the short-sale, and another 0.4% to close the short-sale. Ignoring interest rate, calculate your loss from this short position. A) $3,839 B) $4,144 C) $4,180 D) $4,220 E) $4,525

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