1) On January 1, you sold short five round lots (that is, 500 shares) of Four Sisters stock at $38 per share. On March 1, a dividend of $3.00 per share was paid. On April 1, you covered the short sale by buying the stock at a price of $33 per share. You paid 50 cents per share in commissions for each transaction.

What is the value of your account on April 1? (Negative amount should be indicated by a minus sign.)

2) Youve borrowed $40,000 on margin to buy shares in Ixnay, which is now selling at $20 per share. Your account starts at the initial margin requirement of 50%. The maintenance margin is 35%. Two days later, the stock price falls to $15 per share.

How low can the price of Ixnay shares fall before you receive a margin call? (Round your answer to 2 decimal places.)