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IMR = 5 0 % , M M R = 3 0 % Shares = 1 , 0 0 0 Stock Price = 2 5
IMR Shares Stock Price
How much money did you have to have in your account before you shorted the stock?
Suppose the stock price dropped from the price at which you shorted it What was the price?
You closed out the short at the price in Problem What was your net cash inflow?
What was your return?
If you didn't close out the short, how high could the price go before you got a margin call?
$$ Maximum Price $
If the price increased from the highest it could go without a margin call, what was the new price? $$ New Price $
What was your actual margin? Actual Margin
What was the amount of your margin call? $$ Margin Call $$ Margin Call $
Suppose you couldn't meet the margin call. What is the maximum market value you could have? $$ Maximum Market Value $
What was the necessary reduction?
Reduction Needed Maximum Market Value Value of Stocks
How many shares did your broker buy? Number of shares to sell Reduction Needed New Price
What was the actual reduction? Actual Reduction Number of shares to sell New Price
What was the value of your total assets after the reduction?
What was the value of your loan after the reduction?
Please help
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