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What is the highest price the stock

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Reference no: EM131976846

1. Louisa short sold 600 shares of Celpa stock at $38 a share at an initial margin of 50 percent. The maintenance margin is 45 percent.

a. Construct a balance sheet depicting this transaction. Label each item such as Equity and so on.

b. What is your equity value if stock goes up to $42 per share? What is the new margin?

c. What is the highest price the stock can go before she receives a margin call?

Reference no: EM131976846

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