This quiz will test how well you have learnt the lesson on: Margin and Leverage
Practice Quiz • 5 total points
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Question 10 of 5
10. Question
10 point(s)Leverage:
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Question 10 of 5
10. Question
10 point(s)If you use leverage of 1:50 that would mean that you:
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Question 3 of 5
3. Question
10 point(s)Assuming that you deposit 10,000, use 1:50 leverage, set aside 2,000, open a position of $100,000 and make a gain of $3500. What was the margin?
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Question 4 of 5
4. Question
10 point(s)Let’s assume that you open a position of $240,000, by using a margin of $8,000. What’s the leverage used:
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Question 5 of 5
5. Question
10 point(s)“Leverage acts as a double edged sword. It can magnify your profits if you trade in the correct direction, yet at the same time may eliminate your funds if the market turns against your position”.