Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

If the margin rate was 5 0 % / 1 5 0 % and you shorted $ 3 0 0 0 of stock and purchased

If the margin rate was 50%/150% and you shorted $3000 of stock and purchased $7000 of stock and you use the maximum leverage, how much would you need to deposit?

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

Elements Of Financial Risk Management

Authors: Peter Christoffersen

2nd Edition

0128102357, 9780128102350

More Books

Students also viewed these Finance questions

Question

Describe employee assistance programs.

Answered: 1 week ago

Question

Describe the importance of physical fitness programs.

Answered: 1 week ago

Question

Discuss the factors that set the stage for global HR practice.

Answered: 1 week ago