Question
Justin just made a margin purchase of 100 shares of DEF Corp. for $22.50 per share. The initial margin is 70%. The maintenance margin is
Justin just made a margin purchase of 100 shares of DEF Corp. for $22.50 per share. The initial margin is 70%. The maintenance margin is 30%. How low can the price of each share of DEF be before Justin will have to add equity to his account?
A.
$5.25
B.
$9.64
C.
$4.73
D.
$6.75
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Anti Audit Warfare
Authors: Business Management Daily
7th Edition
1540747182, 978-1540747181
