How low can the price of ixnay shares fall

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Reference no: EM131834963

You’ve borrowed $18,000 on margin to buy shares in Ixnay, which is now selling at $40 per share. Your account starts at the initial margin requirement of 50%. The maintenance margin is 35%. Two days later, the stock price falls to $35 per share.

a. How low can the price of Ixnay shares fall before you receive a margin call? (Round your answer to 2 decimal places.)

Reference no: EM131834963

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