Say you buy 87 shares of APL for $164 per share on 60% initial margin. The maintenance

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Say you buy 87 shares of APL for $164 per share on 60% initial margin. The maintenance margin is 40%.

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a.) Say APL increases to $200 per share. What is your margin percentage now?

b.) Assume APL increased from $164 to $200 per share. What was the percentage change in your equity?

c.) What is the highest stock price at which you would receive a margin call?

Related Book For answer-question

Finance Applications and Theory

ISBN: 978-0077861681

3rd edition

Authors: Marcia Cornett, Troy Adair

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Posted Date: Jul 02, 2019 06:36 AM

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Say you buy 87 shares of APL for $164 per share on 60% initial margin. The maintenance

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No of shares Share price Total Value No of shares market price Initial ... View the full answer

Finance Applications and Theory

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