Question
John has decided to take a short position in Apple stock at $1,000 per share. He sells 100 shares short at $1,000 per share. The
John has decided to take a short position in Apple stock at $1,000 per share. He sells 100 shares short at $1,000 per share. The following information applies for short sales:
IMR = 50% MMR = 30%
- How much does John have to deposit in his account after taking the short position?
- At what price would John double the value of his investment?
- By what percentage would the price have to rise for John to be subject to a margin call?
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Routledge Handbook Of Financial Technology And Law
Authors: Iris Chiu, Gudula Deipenbrock
1st Edition
0367344149, 978-0367344146
