Question

Bill Campbell invested $4,000 and borrowed $4,000 to purchase shares in Walmart. At the time of...

Bill Campbell invested $4,000 and borrowed $4,000 to purchase shares in Walmart. At the time of investment, Walmart stock was selling for $62 a share.

(a) If Bill paid a $30 commission, how many shares could he buy if he used only his own money and did not use margin? (Round your answer to 2 decimal places.)

Number of Shares: 64.51 Answer

(b) If Bill paid a $50 commission, how many shares could he buy if he used his $4,000 and borrowed $4,000 on margin to buy Walmart stock? (Round your answer to 2 decimal places.)

Number of Shares: 129.03 Answer

(c) Assuming Bill did use margin, paid a $90 total commission to sell his Walmart stock, and sold his stock for $75 a share, how much profit did he make on his Walmart investment? (Use the number of shares computed in part (b) rounded to 2 decimal places. Round your final answer to 2 decimal places.)

Total Profit after commission:

Please help me solve the last part of this problem!

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