Question: Consider these facts: The current Minimum Initial Margin requirement is 50%. Maintenance Margin requirements are 30%. You buy 1,000 shares of Acme Enterprises for a

Consider these facts:

  • The current Minimum Initial Margin requirement is 50%.
  • Maintenance Margin requirements are 30%.
  • You buy 1,000 shares of Acme Enterprises for a price of $50 per share, using the maximum amount of borrowed money allowable.
  • The day after you buy, the stock price rises to $55 per share. On the second day it drops to $40 per share.
  • With the stock at $40 per share now;

How many more whole shares of stock can you now buy without adding any money to your account?

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