directions: respond to each problem in the space provided. for items 1 - 3, use the following ticker…

directions: respond to each problem in the space provided. for items 1 - 3, use the following ticker information. the stock symbols represent the following corporations: hd - home depot inc; s - sprint nextel corporation; vz - verizon communications inc; and xom - exxon mobil corp. hd 32.3m@29.13▲1.13 s 1.1k@9.14▼0.78 vz 3.32k@38.77▼2.27 xom 0.66k@92.67▼1.58 1. phil sold his shares of verizon communications inc, as indicated on the above ticker. what was the total value of all the shares phil sold? (1 point) 2. how many shares of home depot are indicated on the ticker? (1 point) 3. what is the total value of all of the sprint nextel corporation shares traded? (1 point) 4. zach bought 200 shares of goshen stock years ago for $21.35 per share. he sold all 200 shares today for $43 per share. what was his gross capital gain? (3 points) 5. elliott purchased shares of microsoft in 2008 for $28 per share. he plans to sell them as soon as the price rises 20%. at what price will he sell his shares? (3 points) 6. darlene purchases $20,000 worth of stock on her broker’s advice and pays her broker a 1.5% broker fee. she sells her stock when it increases to $28,600 two years later, and uses a discount broker who charges $21 per trade. compute darlene’s net proceeds after the broker fees are taken out. (3 points) 7. debbie buys 400 shares of stock for $23 per share, and pays a 1% commission. she sells them six years later for $23.25 per share, and pays a $30 flat fee. are her net proceeds positive or negative? explain. (3 points)

directions: respond to each problem in the space provided. for items 1 - 3, use the following ticker information. the stock symbols represent the following corporations: hd - home depot inc; s - sprint nextel corporation; vz - verizon communications inc; and xom - exxon mobil corp. hd [email protected]▲1.13 s [email protected]▼0.78 vz [email protected]▼2.27 xom [email protected]▼1.58 1. phil sold his shares of verizon communications inc, as indicated on the above ticker. what was the total value of all the shares phil sold? (1 point) 2. how many shares of home depot are indicated on the ticker? (1 point) 3. what is the total value of all of the sprint nextel corporation shares traded? (1 point) 4. zach bought 200 shares of goshen stock years ago for $21.35 per share. he sold all 200 shares today for $43 per share. what was his gross capital gain? (3 points) 5. elliott purchased shares of microsoft in 2008 for $28 per share. he plans to sell them as soon as the price rises 20%. at what price will he sell his shares? (3 points) 6. darlene purchases $20,000 worth of stock on her broker’s advice and pays her broker a 1.5% broker fee. she sells her stock when it increases to $28,600 two years later, and uses a discount broker who charges $21 per trade. compute darlene’s net proceeds after the broker fees are taken out. (3 points) 7. debbie buys 400 shares of stock for $23 per share, and pays a 1% commission. she sells them six years later for $23.25 per share, and pays a $30 flat fee. are her net proceeds positive or negative? explain. (3 points)

Answer

Explanation:

Step1: Analyze Verizon shares and price

The ticker shows VZ [email protected]. Here 3.32K means 3320 shares and 38.77 is the price per - share.

Step2: Calculate total value of Verizon shares sold

Total value = number of shares×price per - share. So, total value = 3320×38.77 = 3320×(38 + 0.77)=3320×38+3320×0.77 = 126160+2556.4 = 128716.4.

Step3: Analyze Home - Depot shares

The ticker shows HD [email protected]. Here 32.3M means 32300000 shares.

Step4: Analyze Sprint shares and price

The ticker shows S [email protected]. Here 1.1K means 1100 shares and 9.14 is the price per - share. Total value of Sprint shares = 1100×9.14 = 10054.

Step5: Calculate Zach's capital gain

Cost of 200 shares = 200×21.35 = 4270. Selling price of 200 shares = 200×43 = 8600. Gross capital gain = selling price−cost price = 8600 - 4270 = 4330.

Step6: Calculate Elliott's selling price

The purchase price per share is 28. He plans to sell when the price rises 20%. Selling price per share = 28×(1 + 20%)=28×1.2 = 33.6.

Step7: Calculate Darlene's costs and proceeds

Purchase cost = 20000. Broker - fee on purchase = 20000×1.5%=300. Total cost = 20000 + 300 = 20300. Selling price = 28600. Broker - fee on sale = 21. Net proceeds = 28600−21−20300 = 8279.

Step8: Calculate Debbie's costs and proceeds

Purchase cost = 400×23×(1 + 1%)=400×23×1.01 = 9292. Selling price = 400×23.25 = 9300. Net proceeds = 9300−30−9292=-22.

Answer:

  1. $128716.4
  2. 32300000
  3. $10054
  4. $4330
  5. $33.6
  6. $8279
  7. Negative. Explanation: Purchase cost is $9292, selling price is $9300, and after paying a $30 flat - fee, net proceeds are 9300−30−9292=-22.