1.

Suppose that you sell short 250 shares of Intel, which is currently selling for $20 per share. Your broker requires 40% initial margin in short sales, which you covered using the T-bills in your account. A) How much money (in T-Bills) do you need to start the trade? B) How much money would you have to put into your account in order to satisfy the maintenance margin requirement (which is 20%) if the price suddenly jumped to $31 a share?