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Ms Smith has entered a futures contract to sell 5,000 bushels of soybeans. Her margin account currently has a balance of $3,000, her initial margin
Ms Smith has entered a futures contract to sell 5,000 bushels of soybeans. Her margin account currently has a balance of $3,000, her initial margin is $4,700, and her maintenance margin is $2,350. Suppose that the next day soybean futures price closes up $0.20 per bushel from the previous day. What action would Ms Smith take with her margin account ?
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