How much margin will now be in his account

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Question: Joshua sells short 1,600 shares of Wild Ride Ltd. when it is trading at $18.00. The margin requirement for Wild Ride is 30% and joshua contributes the minimum necessary to his account. The shares drop to $14.00 andjoshua covers his short. a. How much did Joshua's account increase in value by, before interest and commissions?

b. AssumeJoshua did not cover his short and Wild Ride began trading upwards. The shares climb all the way up to $20.70 with joshua contributing the required minimum margin each day. How much margin will now be in his account?

c. AssumeJoshua covers his short at $20.70. What percentage of his angina/contribution didJoshua lose on this trade? Round your answer to two decimal places.

Reference no: EM133378874

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