Aaron Purchased 300 Shares of a Technology Stock for $16

question 15

Multiple Choice

Aaron purchased 300 shares of a technology stock for $16.80 a share.The initial margin requirement on this stock is 85 percent and the maintenance margin is 60 percent.What is the lowest the stock price can go before he receives a margin call?

• A) $4.43
• B) $5.55
• C) $6.30
• D) $8.33
• E) $10.03

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