If the Initial Margin Requirement Is 50% and You Have

question 140

Multiple Choice

If the initial margin requirement is 50% and you have $5,000 in your brokerage account, you may purchase an additional __________ worth of securities on margin.

• A)$2,000
• B)$2,500
• C)$10,000
• D)none of the above

---

Definitions:

Probe

A device or instrument used to explore, investigate, or measure something within the body or in a scientific experiment.

Axillary Border

The lateral edge of the scapula, extending from the glenoid cavity to the inferior angle, important for muscle attachment.

Teres Major

Teres major is a muscle in the upper arm that helps in the rotation and adduction of the arm.

Infraspinatus

A muscle located on the back of the shoulder blade that helps in lateral rotation of the shoulder joint and stabilization of the humerus.