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you short sell 500 shares of JNJ, at $92 per share.Your brokers initial margin requirement is 40% and maintenance margin requirement is 20%. if stock
you short sell 500 shares of JNJ, at $92 per share.Your brokers initial margin requirement is 40% and maintenance margin requirement is 20%.
- if stock price goes down to $80, will u receive a margin call?
- if price rises to $108, will u receive a margin call?
- assume you buy stocks back at $108 to cover your position, what is the rate of return of investment?
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