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Allen Bagley bought 300 shares of stock at $96.67 per share, using an initial margin of 55%. Given a maintenance margin of 26%, how far
Allen Bagley bought
300
shares of stock at
$96.67
per share, using an initial margin of
55%.
Given a maintenance margin of
26%,
how far does the stock have to drop before Allen faces a margin call? (Assume that there are no other securities in the margin account.)
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