On March $15,2021$ you sell short $12,500$ shares of MMD at stock price of $$33\mathrm{.}70.$ Immediately after

opening this account, you will have $$631,875$ in it$.$

a$.$ Where does that value come from? $$421,250$ is the proceeds from the sale of the MMD stock,

and $$210,625$ is the $50\%$ margin you post $($your equity in the account$).$

b$.$ At what stock price for MMD will you get a margin call? $$38\mathrm{.}89$

c$.$ Suppose the stock price rises to $$41\mathrm{.}50$ almost immediately. How much is your margin call, and how

much equity do you have in your trading account after making it$?$ $$146,250$; $$259,375$