Explain the difference between cash account and margin account

When answering a question copy and paste the question first and then answer it, in other words don’t say Q#3, but write the whole question and then answer it.

This discussion board remains active from 9/9 till 9/18

Each Student should answer questions 15 and 16 and one of the questions from 1-14.  If some of the answers by other students are not satisfactory to you, please complete the answer by following threaded discussion. Each student first needs to answer a question that has not been answered yet.

First answer those questions that have not been answered by other students.

1. Explain the difference between cash account and margin account
2. What is passive portfolio management?
3. What is active portfolio management?
4. Explain the Top-down approach to portfolio construction.
5. Explain the Bottom-up approach to portfolio construction.
6. What is HYPOTHECATION?
7. What is a short sale? Choose a publicly traded stock and find its short interest ratio from yahoo.com.
8. Discuss various types of retirement account accounts.
9. Do you think investment decision depends on the investor’s age?
10. What is a tax shelter, does a tax shelter imply that the individual avoids paying taxes?
11. What is an IRA? A Roth IRA?
12. What is a Keogh Plan? IS it advantageous for investors to open Keogh plans?
13. What is the difference between regular IRA and Roth IRA?
14. What is Efficient Market Hypothesis?
15. Choose a stock from NYSE or NASDAQ. Assume you have shorted 1000 shares of that stock six month ago. Assume you cover your short during this coming week when you post (Your Holding period = 6 months). Estimate your profits and loss. Don’t choose a stock that has already been chosen by another student. (You need to find out from yahoo.com/finance your stock’s price six month ago)