Axel bought $13, 539 worth of stock on margin. The initial margin was 75% and the maintenance margin was 22 %. Actual margin decreased to 16%. Axel deposited enough cash to raise the margin to 35%. Rounded to the nearest penny, how much cash did Axel deposit? Correct Answer: 1,177.84

Axel bought $13, 539 worth of stock on margin. The initial margin was 75% and the maintenance margin was 22 %. Actual margin decreased to 16%. Axel deposited enough cash to raise the margin to 35%. Rounded to the nearest penny, how much cash did Axel deposit? Correct Answer: 1,177.84

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Axel bought $13, 539 worth of stock on margin. The initial margin was 75% and the maintenance margin was 22 %. Actual margin decreased to 16%. Axel deposited enough cash to raise the
margin to 35 %. Rounded to the nearest penny, how much cash did Axel deposit? Correct Answer: 1, 177.84

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