A margin call is received when an account balance falls below a(n) _______ margin; the funds then must be added to satisfy a(n) _____ margin.

A. initial; maintenance

B. maintenance; initial

C. initial; initial

D. maintenance; maintenance

E. second; first

An investment bank that maintains some Treasury bond holdings sells Treasury bond futures contracts. If interest rates decrease, the market value of the bond holdings will _______ and the position in futures contracts will result in a _______.

A. increase; gain

B. increase; loss

C. decrease; loss

D. decrease; gain

E. not change; gain