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You just opened a margin account with a local brokerage firm. The initial margin is 6 0 % and the maintenance margin is 3 0
You just opened a margin account with a local brokerage firm. The initial margin is and the maintenance margin is You bought shares of XYZ at $ per share on the margin.
a What are the initial equity position and loan balance?
b How far can the price go down before you receive a margin call?
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