Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

An investor short sells 300 shares of a stock for $68.29 per share. The initial margin is 60%, and the maintenance margin is 38%. The

image text in transcribed
An investor short sells 300 shares of a stock for $68.29 per share. The initial margin is 60%, and the maintenance margin is 38%. The price of the stock rises to $81.27 per share. What is the margin, and will there be a margin call? The margin in the account is \%. (Round to the nearest percent.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Inclusive And Sustainable Finance Leadership Ethics And Culture

Authors: Atul K. Shah

1st Edition

0367759403, 978-0367759407

More Books

Students also viewed these Finance questions