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You purchase on margin: 350 shares of PepsiCo at $141/share. PepsiCo is the only stock in your brokerage account. Initial margin 75%, maintenance margin 55%.
You purchase on margin: 350 shares of PepsiCo at $141/share. PepsiCo is the only stock in your brokerage account. Initial margin 75%, maintenance margin 55%. A. If PepsiCo's stock price declines to $90/share, will there be a margin call? Show work. B. Calculate PepsiCo's stock price that would trigger a margin call. Show all work
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