Last Week,Danielle Purchased 200 Shares of High Tech Heaven,Inc on Margin

question 260

Multiple Choice

Last week,Danielle purchased 200 shares of High Tech Heaven,Inc on margin for $50 per share.This week,the price of High Tech Heaven's shares dropped by $10 per share due to a poor profit outlook.Danielle should anticipate:

• A)A stabilization of the stock price and graduate increase.
• B)A margin call from her broker.
• C)An offer by the broker to cover the short-fall with additional funding.
• D)A suggestion by the broker that she participate in a "short sale".

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