We’re Investing today and tomorrow Grab a Packet

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Presentation transcript:

We’re Investing today and tomorrow Grab a Packet Stock Market Game Day!!!!! We’re Investing today and tomorrow Grab a Packet Bellringer on your paper

On your paper: how did yesterday go? Did you make money? Lose money? Bellringer Wednesday On your paper: how did yesterday go? Did you make money? Lose money?

Margin=Credit Margin allows you to buy stocks with borrowed money, as long as you have 10% of the total. I get 10x as much stock as I have money I buy 10 shares at $10 on margin Pay $10, borrow $90 Price goes to 12, I have 120(10x12=120) I repay the 90 I borrowed, and still have 30 left

If I have $500, how much can I buy on Margin If I have $500, how much can I buy on Margin? How much do I need to pay back? $500 is 10% of the total you can invest. Total you can invest is $5,000. You need to return 90% of that, which is $4,500.

If I have $2200, how much can I buy on Margin If I have $2200, how much can I buy on Margin? How much do I need to pay back? $2200 is 10% of the total you can invest. Total you can invest is $22,000. You need to return 90% of that, which is $19,800.

Starting Prices COMPANY CURRENT PRICE RCC $70 Real McCoy $14 Papier $11 Ritzy Glitzy $21 Illinois Oil & Gas $27

RCC 70 5 350 McCoy 14 46 644 Totals 994 Company Name Share Price at Start of Round Number of Shares Buying Total Cost (Share Price x Number of Shares) Cash spent buying Margin with 10% down Money Borrowed if Buying on Margin 90% End of Round Value of Stocks at RCC 70 5 350 Nothing I didn’t McCoy 14 46 644 In Borrow Totals 994 These Money

1000 -994 =6 Cash Leftover After Stock Purchases* Add Total Value of Stocks at End of Round Subtract Money Borrowed Net Worth:

Bell Ringer: Finish Round 1 COMPANY LAST ROUND SHARE PRICE CURRENT PRICE RCC $70 $95 Real McCoy $14 $26 Papier $11 $20 Ritzy Glitzy $21 $30 Illinois Oil & Gas $27 $45

Company Name Share Price at Start of Round Number of Shares Buying Total Cost (Share Price x Number of Shares) Cash spent buying Margin with 10% down Money Borrowed if Buying on Margin 90% End of Round Value of Stocks at RCC 70 5 350 Nothing I didn’t 95 475 McCoy 14 46 644 In Borrow 26 1,196 Totals 994 These Money 1,671

1000 -994 =6 1,671 1,676 Cash Leftover After Stock Purchases* Add Total Value of Stocks at End of Round 1,671 Subtract Money Borrowed Net Worth: 1,676

Cash spent buying Margin 10% down Money Borrowed if Buying on Margin Company Name Share Price at Start of Round Number of Shares Buying Total Cost Cash spent buying Margin 10% down Money Borrowed if Buying on Margin 90% End of Round Value of Stocks at RCC 95 100 9,500 10% McCoy 26 200 5,200 Cash Money Rapier 20 103 2,060 Invest Borrow Totals 16,760 1,670 15,084

1676 -1670 =6 15,084 11,306 Cash Leftover After Stock Purchases* Add Total Value of Stocks at End of Round Subtract Money Borrowed 15,084 Net Worth: 11,306

Round 2 COMPANY LAST ROUND SHARE PRICE CURRENT PRICE RCC $95 $155 Real McCoy $26 $39 Papier $20 $30 Ritzy Glitzy $49 Illinois Oil & Gas $45 $57

Cash spent buying Margin 10% down Money Borrowed if Buying on Margin Company Name Share Price at Start of Round Number of Shares Buying Total Cost Cash spent buying Margin 10% down Money Borrowed if Buying on Margin 90% End of Round Value of Stocks at RCC 95 100 9,500 10% 155 15,500 McCoy 26 200 5,200 Cash Money 39 7,800 Rapier 20 103 2,060 Invest Borrow 30 3,090 Totals 16,760 1,670 15,084 26,390

Cash Leftover After Stock Purchases* 1676 -1670 =6 Add Total Value of Stocks at End of Round 26,390 Subtract Money Borrowed 15,084 Net Worth: 11,306

Round 3 COMPANY LAST ROUND SHARE PRICE CURRENT PRICE RCC $155 $280 Real McCoy $39 $51 Papier $30 $52 Ritzy Glitzy $49 $82 Illinois Oil & Gas $57 $116

Round 4 COMPANY LAST ROUND SHARE PRICE CURRENT PRICE RCC $280 $250 Real McCoy $51 $41 Papier $52 $35 Ritzy Glitzy $82 $72 Illinois Oil & Gas $116 $77

Round 5 COMPANY LAST ROUND SHARE PRICE CURRENT PRICE RCC $250 $265 Real McCoy $41 $47 Papier $35 Ritzy Glitzy $72 $78 Illinois Oil & Gas $77 $82

Round 6 OH NO!!!!!!!!!! COMPANY LAST ROUND SHARE PRICE CURRENT PRICE RCC $265 $27 Real McCoy $47 $4 Papier $41 $2 Ritzy Glitzy $78 $9 Illinois Oil & Gas $82 $8 OH NO!!!!!!!!!!