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You open a brokerage account and purchase 500 shares of Gold Inc at $15 per share. You borrow $2,500 from your broker to help pay
You open a brokerage account and purchase 500 shares of Gold Inc at $15 per share. You borrow $2,500 from your broker to help pay for the purchase. The interest rate on borrowed funds is 7%. The share price falls to $8.00 per share by the end of the year. If the maintenance margin requirement is 30%, will you receive a margin call? no, there is still 35.00% margin remaining yes, there is only 27.25% margin now. yes, there is only 28.75% margin now. no, there is still 33.13% margin remaining
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