Question

You sell 100 short shares of stock at $60 per share. Initial Margin Requirement (IMR%)= 50%....

You sell 100 short shares of stock at $60 per share.

Initial Margin Requirement (IMR%)= 50%.

Maintenance margin for short sale of stock with price > $16.75 is 30% of market (or position) value

QUESTIONS:

1. What is the price for margin call?  

2. What is the new market value of the position?(Note: we haven’t deposited any add’l cash yet)

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