Suppose that you just short sold 100 shares of Quiet Minds stock for $67.00 per share.

a. If the initial margin requirement is 50%, how much equity must you invest? (Round your answer to the nearest dollar)

Equity $

b. Construct the balance sheet that corresponds to the transaction.

Assets		Liabilities and Equity
Stock	$	Short position (100 shares)	$
T-bills	$	Equity	$
Total assets	$	Total liabilities and equity	$

c. Now suppose the price of the stock falls to $59 per share. What is your current margin percentage? (Round your answer to 2 decimal places.)

Margin percentage %

d. The maintenance margin is 25%. What is the lowest price that will trigger a margin call? (Round your answer to 2 decimal places.)

Stock price $ %