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show steps [9-10] Old Economy Traders opened an account to short sell 1,000 shares at the price per share of $40 of Internet Dreams. The
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[9-10] Old Economy Traders opened an account to short sell 1,000 shares at the price per share of $40 of Internet Dreams. The initial margin requirement was 50%. (The margin account pays no interest.) A year later, the price of Internet Dreams has risen from $40 to $45, and the stock has paid a dividend of $3 per share. 9. If the maintenance margin requirement is 30%, will Old Economy receive a margin call? 10. What is the rate of return on the investmentStep by Step Solution
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