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33. Assume the following conditions: ABC 50% 30% 3,000 $30 per share Initial Margin Maintenance Margin Shares Purchased Initial Balance Sheet Position: Stock Owned $90,000
33. Assume the following conditions: ABC 50% 30% 3,000 $30 per share Initial Margin Maintenance Margin Shares Purchased Initial Balance Sheet Position: Stock Owned $90,000 Borrowed Equity $45,000 $45,000 The interest rate on the margin is 10%. How far can the ABC stock price fall before you get a margin call? (assuming no interest paid yet) A. $21.43 B. $25.30 C. $24.57 D. $20. 34. 09Assume the following conditions: XYZ 50% 30% $600 100 Shares Shorted Initial Margin Maintenance Margin Initial Price per share Initial Balance Sheet Position: Sale Proceeds $60,000 Initial Margin $30,000 Stock Owed $60,000 Equity $30,000 How much can the XYZ stock price rise before you get a margin call? A. $692.31 B. $670.52 C. $700.37 D. $650.95
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