Shiela shorted 100 shares of Boeing stock when the stock was trading at $200. You have...

 

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Shiela shorted 100 shares of Boeing stock when the stock was trading at $200. You have an initial margin requirement of 50% and a maintenance margin requirement of 30%. The stock paid no dividends during the year and she settled your trade at a price of $180. What is the margin call price? What was the return on the investment? Shiela shorted 100 shares of Boeing stock when the stock was trading at $200. You have an initial margin requirement of 50% and a maintenance margin requirement of 30%. The stock paid no dividends during the year and she settled your trade at a price of $180. What is the margin call price? What was the return on the investment?

Answer rating: 100% (QA)

To determine the margin call price and the return on the investment for Sheilas short position in Bo... View the full answer