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Suppose that Xtel currently is selling at $60 per share. You buy 400 shares using $15,000 of your own money, borrowing the remainder of the purchase price from your broker. The rate on the margin loan is 8% 6. What is the percentage increase in the net worth of your brokerage account of the price of Xtel immediately changes to $63.90 (11) $60 (1) $56 10? What is the relationship between your percentage return and the percentage change in the price of Xtel? (Leave no cells blank - be certain to enter "0" wherever required. Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.) Percentage gain Percentage gain Percentage gain iii. b. If the maintenance margin is 25%, how low can Xtel's price fall before you get a margin call? (Round your answer to 2 decimal places.) Margin call will be made at price or lower b. If the maintenance margin is 25%, how low can Xtel's price fall before you get a margin call? (Round your answer to 2 decimal places.) Margin call will be made at price or lower c. How would your answer to (b) change if you had financed the initial purchase with only $12,000 of your own money? (Round your answer to 2 decimal places.) Margin call will be made at price or lower d. What is the rate of return on your margined position (assuming again that you invest $15,000 of your own money) if Xtel is selling after 1 year at: ($63.90: (10) $60 (1) $56.10? What is the relationship between your percentage return and the percentage change in the price of Xtel? Assume that Xtel pays no dividends. (Negative values should be indicated by a minus sign. Round your answers to d. What is the rate of return on your margined position (assuming again that you invest $15,000 of your own money if Xtel is selling after 1 year at $63.90 (0) $60,() $56 107 What is the relationship between your percentage return and the percentage change in the price of Xtel? Assume that Xtel pays no dividends. (Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.) Rate of return Rate of return Rate of return e. Continue to assume that a year has passed. How low can Xtel's price fall before you get a margin call? (Round your answer to 2 decimal places.) Margin call will be made at price or lower

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