Emma had a trading account and bought 250 shares of Amazon at the price of $35 per share. The amount she borrowed is $3800, and the interest charged on the loan is 6%.

A) Calculate Emmas initial margin in her trading account. (3 marks)

B) By Dec 31 of the year, the share price has fallen from $35 to $25 per share. Calculate the remaining margin in Emmas trading account. Will she receive a margin call if the maintenance margin is 35%? (3 marks)

C) What is the rate of return over Emmas investment period? (4 marks)