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Bill Gates has decided to take a short position in Tesla stock at $ 1 , 0 0 0 per share. He sells 1 0
Bill Gates has decided to take a short position in Tesla stock at $ per share. He sells shares short at $ per share. The following information applies for short sales:
IMR MMR
d How much does Bill have to deposit in his account after taking the short position? Show a balance sheet of the account after the short sale e At what price would Bill double the value of his investment? points
f By what percentage would the price have to rise for Bill to be subject to a margin call? point
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