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Which of the following statements concerning short selling is (are) correct? 1. Losses on a stock purchase are limited to the price of the stock, but losses on a short sale are potentially unlimited. II. The purchase of stock with cash in the hope of earning a capital gain is known as taking a short margined position in the stock. III. Short sellers begin a transaction with a purchase and end it with a sale. IV. An investor short sells 4,000 worth of stock with the initial margin requirement of 60%. She will need to deposit 1,600 with the broker at the start of the transaction. OA. II and IV only OB. I and III only OC. I only OD. II, III and IV only