An investor short sells 200 shares of a stock for $ 68.67 per share. The initial...

An investor short sells 200 shares of a stock for $ 68.67 per share. The initial margin is 53 % , and the maintenance margin is 40 % . The price of the stock rises to $ 81.73 per share.

What is the margin, and will there be a margin call?

The margin in the account is ______ %. (Round to the nearest percent.)

Because the current margin is (equal to, below or above) the maintenance margin, there (will or will not) be a margin call.

(1)

equal to

below

above

(2) will not will

Expert Solution

jeff jeffy answered 3 months ago

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