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6 points Save Answer . On the financial market, you decide to sell short 200 shares at the current price of $ 25 per share.
6 points Save Answer . On the financial market, you decide to sell short 200 shares at the current price of $ 25 per share. The initial margin is 30% and the maintenance margin is 20%. 1- Explain the short sale and how it's different from the buying on margin? (2 Marks) 2- How much in cash or securities must you put into your brokerage account? (1 Mark) 3- If the price increases to 26 $ (No dividend), will the investor receive a margin call? (1 Mark) - How high can the price of the stock go before you get a margin call? (2 Marks)
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