1 Rem purchased 1000 shares of Wartel at $7.50 per share. The
commission for buying shares is 7% of the current price.
a) Calculate the total purchase price of the shares.
b) Six months later Rem sold the shares for $8.50 per share. The
commission to sell is 7% of the current price. Calculate the
amount Rem will receive after selling his stock.
c) Calculate Rem’s gain or loss on the stock transaction.
2 Marlon is considering investing $50 per per month in a registered
savings plan. Identify two advantages of registered savings plans
that Marlon should consider.
3 Rochel wants to invest $3000 for a 6month period of time. List
one advantage and one disadvantage for each investment option.
Refer to either liquidity, risk or rate of return in your answer.
4 A broker charges a 3% commission on all sales of stock. Calculate
the total cost of purchasing 300 shares of a stock worth $12.48 each.
5 a) Provide and explain an appropriate financial goal for the
5 b) Provide and explain an appropriate financial goal for the
6 The Francois family visited a financial planner and discovered
that they had a net worth of $100000. Their total liabilities are
$110000 including their mortgage of $60000.
a) Calculate the total value of their assets.
6 b) Calculate their Debt Equity Ratio if they borrow $3000
for a winter holiday.
7 Morgan’s portfolio was valued at $23400 on March 1. On June 1
she redeemed all of her portfolio investments for $22464.
Calculate her percent loss.
8 Raphael received $1000 from his grandparents. One of his goals
is to invest the $1000 for 3 years to help with university tuition.
He wants to keep his principal while earning the highest rate of
Justify two investment options for Raphael.
9 Kyle purchases 600 shares at a cost of $2 per share, with broker
fees of 1% of the purchase price. One week later, the shares
increase by $0.10 per share and Kyle decides to sell the stocks. He
sells them through the broker, who charges 1% of current value for
Calculate how much money Kyle gained or lost in this investment.
10 Jeyson’s net worth is $14500. If his assets total $89750,
calculate his total liabilities.