You buy 500 shares of XYZ stock currently priced at $100. You use $30,000 of your own money and borrow the remainder from your broker. If the rate on the margin loan is 8% and the stock is selling at $80, would you receive a margin call after one year? Assume that the margin requirement is 35%. Ignore transactions costs.

Yes, because margin is 46%.

No, because margin us 34%.

No, because margin is 46%.

Yes, because margin is 34%.