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:

Normal Distribution

A continuous probability distribution characterized by a symmetric bell-shaped curve, where most observations cluster around the central peak and probabilities for values further away from the mean taper off equally in both directions.

Right-Skewed

Describes a distribution of data where the tail on the right side of the histogram is longer or extends further than the tail on the left side, indicating that the median is less than the mean.

Standard Deviation

A metric that calculates the spread or variability of a dataset in comparison to its average, showing the extent to which the data points deviate.

Normally Distributed

Describes a distribution of data that forms a symmetric bell curve, indicating that the data follows a normal distribution pattern.