Question No. 2: Suppose you short sale 2000 shares of Nike Inc. currently selling for $40 per share, and your broker has 50% us initial margin, and 40% maintenance margin. Assume that Nike pays no dividends. 1. How much you will put into your account as initial margin deposits. What is your balance sheet look like from short selling? 2. If price of stock fallen to $38 per share, what is the gain or loss from short selling? How that is changing your balance sheet? 3. If price of stock risen to $45, what is the loss or gain from short selling, what is your balance sheet look like, what is your margin now? How much you will added to your account (margin call)