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12/18/09 BR- Describe how “buying on margin” or “short selling” can be a risky, but profitable move. Today : - Explain buying on margin and short selling Watch a short video Calculate losses/profits from yesterday, hand in to me get started on your consumer booklet. “Risky Business”.
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12/18/09BR- Describe how “buying on margin” or “short selling” can be a risky, but profitable move. Today: - Explain buying on margin and short selling Watch a short video Calculate losses/profits from yesterday, hand in to me get started on your consumer booklet
“Risky Business” • Buying on margin – borrowing money or using others money to buy hoping prices will go up. • Short selling – selling stocks you don’t have with the idea of buying stocks at a lower price to replace the ones you sold.
In your Group • Calculate how much money you earned (or lost) based on the closing prices (in parenthese).
Closing Numbers.. NKE (Nike) $64.05 ($63.25) MSFT (Microsoft) $30.10 ($29.60) GOOG (Google) $597.76 ($593.94) SNE (Sony) $29.01 ($28.58) MCD (McDonald’s) $64.42 ($61.92) GE (General Electric) $15.69 ($15.79) XOM (Exxon/Mobile) $68.43 ($68.22) GD (General Dynamics) $69.45 ($68.51) WMT (Walmart) $53.32 ($52.76) AAPL (Apple) $195.03 ($191.86) DELL (Dell) $13.70 ($13.74) BP (British Petroleum) $57.04 ($55.90 AMD (Advances Micro) $9.27 ($9.12) COKE (Coca-Cola) $53.97 ($54.94) PEP (Pepsi Co.) $60.94 ($60.04) PFE (Pfizer Corp) $19.24 ($18.22)
Completing Your Booklet: • Start with the 5 topics (pages) • What 5 facts or tips will you put on each page? • What picture will you put on each page. • What materials do you need? - If you have questions about the project during break email me. jemcintosh@cps.edu Remember this project is worth 100 points (part of your class grade) and will determine if you get your consumer ed. credit. - NO LATE PROJECTS WILL ACCEPTED!