Problem 49.9 On December 30, 1998, you decided to bet on the January effect, a well-known empirical regularity in the stock market. On that day, you bought 400 shares of Microsoft on margin at the price of $139 per share. The initial margin requirement is 55% and the maintenance margin is 30%. The annual cost of the margin loan is 6.5%. (a) Determine your initial margin requirement. (b) To what price must Microsoft fall for you to receive a margin call? (c) On January 8, 1999, Microsoft climbed to $151.25. What was the actual margin in your account on that day? (d) On January 9, 1999, you sold your Microsoft shares at the price of $150.50 per share. What was the return on your investment? (e) Recalculate your answer to part (d) assuming that you made the Microsoft stock purchase for cash instead of on margin