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The stock of ABC Inc is trading at $50. You short sold 350 shares of ABC at this price. The initial margin requirement is 75%.
The stock of ABC Inc is trading at $50. You short sold 350 shares of ABC at this price. The initial margin requirement is 75%. However, price increased to $55, at which point you decided to close the trade. What was your percentage return? Consider the short sale trade in the previous question. If your brokerage requires a maintenance margin of 40%, at what price will you get a margin call
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