Short call: You deposit $ 1 2 8 , 0 0 0 cash in a brokerage account

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Question:

Short call: You deposit $

128, 000

cash in a brokerage account and short sell $

237, 000

of stocks on margin. The broker requires a maintenance margin of

35

percent. Later, the value of the stocks held short falls to $

209, 000 .

What is your new account margin in percent? Will you receive a margin call?

Posted Date: May 18, 2024 03:16 PM

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Short call: You deposit $ 1 2 8 , 0 0 0 cash in a brokerage account

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