Problem $3-02$

Lauren has a margin account and deposits $$50,000.$ Assume the prevailing margin requirement is $50$ percent, commissions are ignored, and the Gentry Wine Corporation is selling at $$25$ per share.

a$.$ How many shares can Lauren purchase using the maximum allowable margin? Round your answer down to the nearest whole share, if necessary. $$ shares

b$.$ What is Lauren's profit $($loss$)$ if the price of Gentry's stock

i$.$ rises to $$30?$ Use a minus sign to enter loss, if any. Round your answer to the nearest dollar. Use the rounded value of the number of shares from part a$.$ S $$

ii$.$ falls to $$10?$ Use a minus sign to enter loss, if any. Round your answer to the nearest dollar. Use the rounded value of the number of shares from part a$.$ S $$

c$.$ If the maintenance margin is $40$ percent, to what price can Gentry Wine fall before Lauren will receive a margin call? Round your answer to the nearest cent. Use the rounded value of the number of shares from part $a.$

$ $$