Theresa Has a Margin Account with a 60 Percent Initial

question 13

Multiple Choice

Theresa has a margin account with a 60 percent initial margin requirement and a 35 percent maintenance margin.What is the maximum dollar amount of stock she can purchase if her cash balance in the account is $35,300?

• A) $19,140.00
• B) $31,900.00
• C) $44,093.33
• D) $58,833.33
• E) $91,142.86

---

Definitions:

3rd Quartile

Also known as the upper quartile, it is the value below which 75% of the data in a dataset falls.

Symmetric Distribution

A distribution where the left and right sides of the distribution are mirror images of each other.

Median

The middle value of a dataset, which divides the dataset into two halves when the numbers are arranged in ascending order.

1st Quartile

The 1st quartile, also known as the lower quartile, is a statistical measure that divides the lowest 25% of data in a dataset from the highest 75%.