Question: Dee Trader opens a brokerage account and purchases 3 0 0 shares of Internet Dreams at $ 4 0 per share. She borrows $ 4

Dee Trader opens a brokerage account and purchases 300 shares of Internet Dreams at $40 per share. She borrows $4,000 from her broker to help pay for the purchase. The interest rate on the loan is 8%. a) What is the margin in Dee's account when she first purchases the stock? b) If the share price falls to $30 per share by the end of the year, what is the remaining margin in her account? c) If the maintenance margin requirement is 30%, will she receive a margin call? d) What is the rate of return on her investment?

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