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A. You purchased 100 shares of Google (GOOG) on margin at $614 per share. Assume the initial margin is 50% and the stock pays no
A. You purchased 100 shares of Google (GOOG) on margin at $614 per share. Assume the initial margin is 50% and the stock pays no dividend. What's the equity value ($) in your account when the stock price falls to $600?
B. What would the maintenance margin (%) be if a margin call is made at a stock price of $500? Ignore interest on margin.
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