You deposit $100,000 cash in a brokerage account and purchase $200,000 of stocks on margin by borrowing

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You deposit $100,000 cash in a brokerage account and purchase $200,000 of stocks on margin by borrowing $100,000 from your broker. Later, the value of your stock holdings falls to $175,000. What is your account margin in dollars?

a. $50,000

b. $75,000

c. $100,000

d. $150,000.

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Fundamentals Of Investments Valuation And Management

ISBN: 9781266824012

10th Edition

Authors: Bradford Jordan, Thomas Miller, Steve Dolvin

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Question Posted: Dec 28, 2023 04:27 AM

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You deposit $100,000 cash in a brokerage account and purchase $200,000 of stocks on margin by borrowing

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Fundamentals Of Investments Valuation And Management

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