When the Price of a Stock Declines to the Point

question 241

Multiple Choice

When the price of a stock declines to the point where the investor's equity is less than the required percentage,the brokerage firm will make a telephone call to the investor telling him or her to immediately either provide more collateral or face having the investment liquidated.This procedure is known as a(n)

• A)limit order.
• B)IPO.
• C)margin call.
• D)odd lot.

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