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Which of the following is correct? Choose all that are correct. Investors sell short stocks when they predict a decline in the price of stock.

Which of the following is correct? Choose all that are correct.

Investors sell short stocks when they predict a decline in the price of stock.

When you purchase a stock on margin, the margin in your account is the portion of the purchase value borrowed from a broker.

Proceeds earned from short sales can be reinvested in other securities once the short seller receives it.

Naked short selling indicates selling short shares that have not been borrowed.

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