A trader shorts 500 shares of a stock when the price is $50. The initial margin is
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A trader shorts 500 shares of a stock when the price is $50. The initial margin is 160% and the maintenance margin is 130%. How much margin is required from the investor initially? How high does the price of the stock have to rise for there to be a margin call?
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The cost of the shares is 500 50 or 25000 When shares are shorted the proceeds of ...View the full answer
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