Calculate the price at which investor will get margin call

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Reference no: EM131855982

An investor buys $8,000 worth of a stock priced at $40 per share using 50% initial margin. The broker charges 6% on the margin loan and requires a 30% maintenance margin. In one year the investor gets a margin call. Calculate the price at which the investor will get a margin call.

Reference no: EM131855982

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