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Old Economy Traders opened an account to short-sell 1,000 shares of Internet Dreams at $75 per share. The initial margin requirement was 50%. (The margin
Old Economy Traders opened an account to short-sell 1,000 shares of Internet Dreams at $75 per share. The initial margin requirement was 50%. (The margin account pays no interest.) A year later, the price of Internet Dreams has risen from $75 to $89.50, and the stock has paid a dividend of $11.00 per share.
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