Amy Jenkins bought 100 shares of stock at $70 per share using an initial margin of 50%.
Question:
Amy Jenkins bought 100 shares of stock at $70 per share using an initial margin of 50%. Given a maintenance margin of 30%, how far does the stock have to drop before Amy faces a margin call? (Assume that there are no other securities in the margin account.)
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Market value of securities at purchase 300 95 28500 Debit bal...View the full answer
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Related Book For 
Fundamentals Of Investing
ISBN: 9780135175217
14th Edition
Authors: Scott B. Smart, Lawrence J. Gitman, Michael D. Joehnk
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