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The initial margin requirement on a stock purchase is 49%. You fully use the margin allowed...

The initial margin requirement on a stock purchase is 49%. You fully use the margin allowed to purchase 200 shares of TSLA at $325.00. The maintenance margin requirement is 25%.  At which share price would first receive a Margin Call? Enter your answer in the box below. Round your answer to two decimals.

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Answer #1

We are given the following information:

Initial Margin 49%
Maintenance Margin 25%
Purchase price of stock $                     325.00

Margin call price is calculated as follows:



·           
So the margin call price is $221  
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