If the Initial Margin Is $5,000, the Maintenance Margin Is

question 59

Multiple Choice

If the initial margin is $5,000, the maintenance margin is $3,500 and your balance is $3,100, how much must you deposit?

• A) $1,500
• B) $400
• C) $1,900
• D) 0
• E) none of the above

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Definitions:

AVC Curve

A graph representing the average variable cost of producing different quantities of output, typically U-shaped due to economies and diseconomies of scale.

Short-run Shut-down Price

The price level at which a firm's total revenue is equal to its variable costs, below which it should cease operations.

Short-run Supply Curve

Represents the relationship between the price of a good and the quantity supplied over a short period, during which at least one input is fixed.

Marginal Cost Curve

A graphical representation of the change in total cost that arises when the quantity produced changes by one unit.