Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Shares 1 , 0 0 0 requirement 3 0 % Initial margin requirement 5 0 % Maintenance margin 3 0 % You shorted a stock

Shares 1,000
requirement 30%
Initial margin requirement 50%
Maintenance margin 30%
You shorted a stock at $30 a share. The next day, the Fed raised the initial margin requirement to 60%. How much additional money would you need to deposit?
a none of the answers is correct
b 0
c $3.000
d $300

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Management For Nurse Managers And Executives

Authors: Cheryl Jones, Steven A. Finkler, Christine T. Kovner, Jason Mose

5th Edition

0323415164, 9780323415163

More Books

Students also viewed these Finance questions

Question

we have

Answered: 1 week ago

Question

Learn about HRM challenges in the textile industry.

Answered: 1 week ago