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CFP Exam Questions and Answers 100%
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Lisa purchased 500 shares of XYZ stock trading at $40 per share, with an
initial margin requirement of 60% and a maintenance margin of 30%. At
What price would Lisa receive a margin call?
A. $20
B. $22.86
C. $57.14
D. $80.00 - ✔✔B. $22.86
40*(1-.60)/ 1-.30= 22.86
Lareen purchased 1000 shares of CWC stock for $80 per share with an
initial margin requirement of 65% and a maintenance margin of 40%.
Assume the stock price falls to $30 per share, how much equity must
Laureen contribute?
, ©JOSHCLAY 2024/2025. YEAR PUBLISHED 2024.
A. $2/share
B. $8/share
C. $10/share
D. $12/share - ✔✔C. $10 per a share
Required Equity Actual Equity
Price: 30 Price: 30
Main. Margin *.40 Debt: (28)
Required Equity 12 Actual: $2
Debt = $80* (1-.65) = $28
Required - Actual = contribution amount 12-2=10
MSFT declared a dividend payable to shareholders on the record date of
Wed. May 15th. Which is the last possible date an investor could purchase
the stock and still receive the dividend?
, ©JOSHCLAY 2024/2025. YEAR PUBLISHED 2024.
A. purchased on May 13th
B. purchased on May 12th
C. purchased on May 11th
D. purchased on May 10th - ✔✔D. May 10th.
Ex dividend date would be Monday the 13th, and in order to receive the
dividend the investor would have to purchase prior to the ex-dividend date.
Since the 13th is a Monday the last possible date an investor could
purchase the stock and still receive the dividend would be Friday the 10th.
If June 4 is the date of record, when must Joe purchase the stock in order
to receive the dividend?
A. June 1
B. June 2
C. June 3
D. June 4
E. May 31 - ✔✔A. June 1st
CFP Exam Questions and Answers 100%
Solved | Guaranteed Success
Lisa purchased 500 shares of XYZ stock trading at $40 per share, with an
initial margin requirement of 60% and a maintenance margin of 30%. At
What price would Lisa receive a margin call?
A. $20
B. $22.86
C. $57.14
D. $80.00 - ✔✔B. $22.86
40*(1-.60)/ 1-.30= 22.86
Lareen purchased 1000 shares of CWC stock for $80 per share with an
initial margin requirement of 65% and a maintenance margin of 40%.
Assume the stock price falls to $30 per share, how much equity must
Laureen contribute?
, ©JOSHCLAY 2024/2025. YEAR PUBLISHED 2024.
A. $2/share
B. $8/share
C. $10/share
D. $12/share - ✔✔C. $10 per a share
Required Equity Actual Equity
Price: 30 Price: 30
Main. Margin *.40 Debt: (28)
Required Equity 12 Actual: $2
Debt = $80* (1-.65) = $28
Required - Actual = contribution amount 12-2=10
MSFT declared a dividend payable to shareholders on the record date of
Wed. May 15th. Which is the last possible date an investor could purchase
the stock and still receive the dividend?
, ©JOSHCLAY 2024/2025. YEAR PUBLISHED 2024.
A. purchased on May 13th
B. purchased on May 12th
C. purchased on May 11th
D. purchased on May 10th - ✔✔D. May 10th.
Ex dividend date would be Monday the 13th, and in order to receive the
dividend the investor would have to purchase prior to the ex-dividend date.
Since the 13th is a Monday the last possible date an investor could
purchase the stock and still receive the dividend would be Friday the 10th.
If June 4 is the date of record, when must Joe purchase the stock in order
to receive the dividend?
A. June 1
B. June 2
C. June 3
D. June 4
E. May 31 - ✔✔A. June 1st
