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You have sold short 40 shares of company LOL at $100. Your initial margin is 50% and your maintenance margin is 30%. A few weeks
You have sold short 40 shares of company LOL at $100. Your initial margin is 50% and your maintenance margin is 30%. A few weeks later, just after the company paid $2 dividends, you hit the maintenance margin (exactly) and receive a margin call. How much money do you have to add to your account to bring the margin back to the initial level?
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