1. QPR stockbroker offers short selling facility to investors with 50% initial margin and 25% minimum margin. If subjected to a margin call, the investor must deposit some fund to return the position to minimum margin. You do short selling of 100,000 QPR stocks at the price of $1,000/stock. At what price are you subjected to a margin call?

a. $1,100

b. $1.250

c. $1,200

d. $1,167

2. YXX stockbroker offers investors financing to buy stocks with the following requirements - Initial Margin: 50%; Minimum Margin: 20%; If subjected to a margin call, the investor must deposit some fund to repay part of his debt and return the position to minimum margin. You buy 100,000 WXX stocks at the price of $1,000/stock using the margin facility. If WXX stock price drops to $600, how much Rp do you have to deposit to meet the minimum margin call?

a. $2 million

b. $1.6 million

c. $1.2 million

d. $0.8 million

How much $?