A Margin Call Is a Request from a Brokerage Firm

question 80

True/False

A margin call is a request from a brokerage firm for the investor to increase the cash in the account in order to bring the margin back up to the minimum level.

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Definitions:

Randomized Block Experiment

An experimental design that groups subjects into blocks based on certain characteristics before randomly assigning treatments within each block to reduce variation.

Interval

A range of values between two points, often used in statistics to describe the confidence levels of estimations or predictions.

Chi-Squared Distributed

Describes a statistical distribution where the sum of the squares of a number of independent standard normal random variables is chi-squared.

Degrees of Freedom

The number of independent values or quantities that can vary in the analysis of statistical parameters.