You sold short 500 shares of common stock at $30 per share. The initial margin is...

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You sold short 500 shares of common stock at $30 per share. The initial margin is 50% 15 and the maintenance margin is 30%. Your initial investment is A $4,500 B $15,000 C $5,600 D $7,500 16 The following is not an instrument for monetary policy Changing percentage of reserves (deposits) that banks and thrifts must hold in cash or A in deposits at the Federal Reserve. the interest rate charged to the commercial banks and other financial institutions for B the loans they take from the Fed Can open market operation by the Fed D None of the above E The process of issueing paper currency by the US Treasury Dpartment You purchased a share of stock for $50. One year later you received $2.5 as a dividend 17 and sold the share for $54. Your holding-period return is ? You sold short 500 shares of common stock at $30 per share. The initial margin is 50% 15 and the maintenance margin is 30%. Your initial investment is A $4,500 B $15,000 C $5,600 D $7,500 16 The following is not an instrument for monetary policy Changing percentage of reserves (deposits) that banks and thrifts must hold in cash or A in deposits at the Federal Reserve. the interest rate charged to the commercial banks and other financial institutions for B the loans they take from the Fed Can open market operation by the Fed D None of the above E The process of issueing paper currency by the US Treasury Dpartment You purchased a share of stock for $50. One year later you received $2.5 as a dividend 17 and sold the share for $54. Your holding-period return is ?

Answer rating: 100% (QA)

To calculate the initial investment for a short sale we first determine the total value of the ... View the full answer