Your margin account requires an initial margin of 50%, and a maintenance margin of 30%. You...
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Your margin account requires an initial margin of 50%, and a maintenance margin of 30%. You deposit $25,000 cash in a brokerage account and short sell stocks using all available margin and borrowing the rest from your broker. Later, the value of your stock holdings goes to $36,000. What is your dollar return? O $14,000 Loss $11,000 Loss $14,000 Gain $25,000 Gain Your margin account requires an initial margin of 50%, and a maintenance margin of 30%. You deposit $25,000 cash in a brokerage account and short sell stocks using all available margin and borrowing the rest from your broker. Later, the value of your stock holdings goes to $36,000. What is your dollar return? O $14,000 Loss $11,000 Loss $14,000 Gain $25,000 Gain
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