Question: Old Economy Traders opened an accrount to sh < rt sell l.(10(.i shares o1' Interrret Dreams l'rr:m the previous question. The initial margin requirement was
Old Economy Traders opened an accrount to sh< rt sell l.(10(.i shares o1' Interrret Dreams l'rr:m the previous question. The initial margin requirement was 50a/o. (The margin lccolrnl pays no interest.) Ayeitr Jater:, the price of Internet Dreams has risen llrom $40 to :i50, nnd the stock has paid a dividencl of $2 per share, rl. What is thc remaining rnargin in'the accourt? D. Ii'tlre maintenance mar:gin t'equire rnent is 30a/r,, will Old Economy receive a nrargin call? c, What is the rate of return or the investment?
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