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Q: What percent is usually paid when buying on margin?
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Continue Learning about General History

How frequently is interest paid on a bond?

Interest is usually paid semiannually.


How did buying on the margin affected the great depression?

Consumer goods were not the only commodities that Americans bought on credit. buying stocks on margin had become very popular during the 1920s. in margin buying, an individual could purchase a share of a company's stock and use the promise of that share's future earnings to buy more shares. unfortuantely, many people abused this system to invest huge sums of imaginary money that existed only on paper. in the 1920s, more people invested in the stock market than ever before. stock prices rose so fast that by the end of the decade, people could become rich overnight just by selling or buying stocks. the buyer would hold the stock until the price rose and sell it for a profit. as long as the prices of stocks kept on increasing, the system worked. in 1928 and 1929, the value of stocks went up faster than the value of the companies the stocks represented. some experts warned that this bull market would end. in 1929, a few stock investors began to sell their stocks. seeing these few investors begin to sell,others soon followed creating a domino effect. the sudden selling caused the stock prices to fall. nervous brokers asked investors to pay their debts, but when they couldn't repay, they were forced to sell, causing the prices of stocks to fall even more. eventually, stocks lost more than 50% of their value and 16 million shares were sold at a lost.


Did soldiers in the English Civil War get paid?

it depends on what the type of soldier you are talking about but an infantry soldier was paid about 1shilling and sixpence a day. a cavalry trooper was paid about 4 shillings and sixpence a day, but the had to pay for the food of their horse so it was usually less than that amount


What did ancient Egyptian workers earn for their work?

They usually get paid with little food or a little amount of money.


How much was people in the Victorian era paid?

normally 4-6 pounds a year, if you were lucky you would get paid 14 pounds a year, at the most.

Related questions

How is buying on margin simullar to buying on an installment plan?

An individual buying securities on margin and buying merchandise on an installment plan have an important feature in common. The commonality is based on the fact that in each of these transactions, interest is charged and must be paid. Generally speaking, the interest is paid when buying on margin upon the sale of the securities. Buying on margin is usually a short term arrangement. With an installment plan, the interest is usually built into the monthly payments. These payments can be over an extended amount of time.


What does 10 percent towards deposit paid by vendor mean when buying a house?

When purchasing a new home, a deposit on the sale price is normally required. When buying a house,10 percent towards deposit paid by vendor means that if, for example, the house cost 200,000 US dollars, a deposit of 20,000 US dollars was paid by the person selling the house.


What is a good profit margin for a hotel?

Preferably it should be be a few percent over what you could get for your money in a safer investment. Consider that you may be an employee there and being paid a decent salary. No? The facts. You asked - 9-12 percent. But of what?


How did buying on margin work?

Buying on margin allowed investors to borrow money from their broker to purchase stocks. This meant they only had to provide a percentage of the total cost of the stock as collateral, while the broker would lend them the rest. The investor would then pay interest on the borrowed amount. If the stock price increased, the investor could sell the stock and repay the loan with the profits. However, if the stock price decreased, the broker could issue a margin call, requiring the investor to deposit more funds to cover the loss.


Does an increase of 4 percent in the interest rate result in a 4 percent increase in the total interest paid?

Not usually. A "4 percent increase in the interest rate" usually means that there is some reference interest rate of x percent that is increased to 4 + x percent. This means that the interest paid increases from x percent of the principal to 4 + x percent of the principal. Therefore, the interest paid increases by 100 (4/x) %. For example, if a recent Federal funds rate of 1 % in the United States were to be increased by 4 %, the interest paid on any given amount of principal would increase by 400 %!


How much did Cristiano ronaldo get paid when he was in Manchester united?

Usually 70 percent is kept by the club. 20 percent for the player and and ten percent for the agent this is the usual system.


What is 6 percent tax?

'6 percent tax' can mean 2 things, depending whether or not the tax is inclusive. If it is not inclusive it means that you owe a further 6% of whatever your buying/receiving. For example if you're buying something for £100 and VAT (at 6%) is not included you would owe £6 to the tax man. If it is inclusive it means that 6% of whatever your buying/receiving. If you are buying something for £50 and VAT is included (at 6%) 6% would be paid to the tax man for you.


How much has to be paid if bail is set at 20000 dollars?

depends on what your state charges, usually ten percent. 10% of 20,000 = 2,000.


The percentage of the total price that must be paid at the time of purchase of a stock is called the?

The percentage of the total price that must be paid at the time of purchase of a stock is called the margin requirement. This requirement is set by brokers and represents the minimum amount of equity that investors must contribute towards the purchase.


Dealership selling used car as new?

There are lots of dealership in selling and buying the car as new. The dealer is usually paid on a given commission depending with the agreement reached.


What was the highest percent paid tax in 1918?

77 percent


Which term refers to the percentage of the total price that must be paid at the time of purchase of a stock?

margin requirement.