Julie Baskoff has sell short 300 shares of Watercraft Industries at 85 on margin. The leverage ratio is 1.66667 and her broker requires a 35% maintenance margin. If price went up 15% dividends is $1.2 and interest is 0.05 What is account value What is the new equity at what price there will be a margin call?WHAT IS YOUR RETURN

Essentials Of Investments
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ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Julie Baskoff has sell short 300 shares of Watercraft Industries at 85 on margin. The leverage ratio is 1.66667 and her broker requires a 35% maintenance margin. If price went up 15% dividends is $1.2 and interest is 0.05 What is account value What is the new equity at what price there will be a margin call?WHAT IS YOUR RETURN
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