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Laura believed Apple Co. (AAPL) stock was overpriced at the price of $210. She shorted 200 shares. The brokerage firm required an initial margin of
Laura believed Apple Co. (AAPL) stock was overpriced at the price of $210. She shorted 200 shares. The brokerage firm required an initial margin of 50% and a maintenance margin of 35%. The price, however, has been moving against Lauras belief. If AAPL price increases from $210 to $260, how much would Laura have to deposit in her margin account?
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