Question
1. What is your initial margin? * a. $1,500 b. $2,500 c. $3,000 d. $5,000 e. None of the above 2. What is your ending
1. What is your initial margin? *
a. $1,500
b. $2,500
c. $3,000
d. $5,000
e. None of the above
2. What is your ending margin in this short sell position after 1 year? *
a. $1,100
b. $1,500
c. -$1,000
d. -$1,500
e. None of the above
3. At $30 stock price, will Loyal Broker send you a margin call? *
a. No, since the maintenance margin is less than the margin rate
b. No, since the maintenance margin is more than the margin rate
c. Yes, since the maintenance margin is less than the margin rate
d. Yes, since the maintenance margin is more than the margin rate
e. None of the above
4. How much additional money do you need to deposit in order to maintain your position open? *
a. $1,500
b. $700
c. $800
d. $1,150
e. None of the above
You are expecting esp shock pride hoderaase the next year. The stock is trading now at 25 81 per share and you have just sold 200 shares the short sell technique. loyal trading using Company, the broker you deal with sets the Following margin requirements Margin Requirement rates Initial Maintenance per share One year after you entered this short position Ls? stock price increased to 1.4 Rregularly , Lppogo aliper show cadisided alte end of the yearStep by Step Solution
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