What stock price will you get margin call

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Reference no: EM131848583

You sell short 200 shares of Doggie Treats Inc. that are currently selling at $25 per share. You post the 50% margin required on the short sale. What is your investment return if stock price is $30 now? If your broker requires a 30% maintenance margin, at what stock price will you get a margin call? (You earn no interest on the funds in your margin account, and the firm does not pay any dividends)

Reference no: EM131848583

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