Question
You short-sell 283 shares of GE at a price of $3.00 per share using your full margin which as an initial margin requirement of 55%
You short-sell 283 shares of GE at a price of $3.00 per share using your full margin which as an initial margin requirement of 55% (or 0.55). Your maintenance margin is set at 45% (or 0.45). At what price per share will you get your margin call?
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Financial Markets and Institutions
Authors: Anthony Saunders, Marcia Cornett
6th edition
9780077641849, 77861663, 77641841, 978-0077861667
