Al Rodriguez sells $500$ shares of Gold Mine Corp. short at $$80$ per share. The

margin requirement is $50$ percent. The stock falls to $$62$ over a three$-$month

time period, and he closes out his position.

a$.$ How much is his initial margin?

b$.$ What is his percentage gain or loss on his initial margin?

c$.$ If he is in a $35$ percent tax bracket for short$-$term capital gains and a $15$ per$-$

cent bracket for long$-$term capital gains, what is his tax obligation?

d$.$ If the stock went up to $$94$ instead of down to $$62,$ what would be his

dollar loss?

e$.$ Assuming this is his only transaction for the year, how large a tax deduction

could he take against other income?