What is the new percentage margin in the account

Reference no: EM133492079

Case: The price of Facebook stock is currently $44.91 and you decide to buy 110 shares on margin. The inital margin is 60%.

Part 1
How much money will you borrow from the broker if you borrow as much as possible?

Part 2
If the price falls to $40.45, what is the new percentage margin in the account?

Part 3
If the broker's maintenance margin is 40%, what is the minimum value the stock price can take before you are issued a margin call?

Reference no: EM133492079

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