Series 7 - General Securities Representative Exam

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A trader bought 1200 shares of BIG company at $52. He sold 1/3 of his position at $54. What is his unrealized gain?

$1,600
A
$800
B
$2,400
C
$4,800
D

Explanations

He sold 400 shares at 54. That's a realized gain of $800. He has 800 shares remaining with a $2 unrealized gain on them. The $1600 gain is unrealized because he has not sold the shares yet.

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