Scenario 2: Selling on Margin (Short Selling) David opens a margin account for short-selling and sells 1200 shares of XYZ Inc. on margin at a price of $47 per share. The share is eligible for reduced margin. What is the initial margin required upon short sale of these shares by David? (2 Marks) The price of XYZ Inc. rises to $55 after three days. What is the new margin requirement? Does David have an excess margin in the account or there is a margin deficiency? How much? (2Marks) Assuming that the price of XYZ Inc. falls to $44 after three days from the day of purchase. What is the new margin requirement? Is there an excess margin or margin deficiency? How much? (2 Marks) David finally buys the XYZ inc. stock when the price is $48. What is his Capital Gain or Capital Loss from this transaction? (2 Marks) If XYZ company declared dividend while his shares are still sold short, will he be responsible for paying dividend to the buyer or not? (2)