The Call Money Rate Is the

question 12

Multiple Choice

The call money rate is the

• A) Rate at which you borrow money to make a margin purchase
• B) Percentage of a security's value that must be paid to a broker when you receive a marginal call
• C) Percentage interest rate that must be paid on any margin shortfall until the brokerage firm receives the funds requested in a margin call
• D) Rate at which the brokerage firm borrows funds that are subsequently loaned to margin customers
• E) Minimum percentage rate of equity that must be maintained at all times

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