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You have a margin account with $45,000 in equity, $110,000 in 4000 shares of NIY stock. The account has a maintenance margin of 10%. How low can NIY stock fall before you have a margin call? A) A margin call will occur if NIY stock falls by 10% B) A margin call will occur if NIY stock falls by $9.45 C) A margin call will occur if NIY stock falls to $18.07 D) A margin call will occur if NIY stock falls by $2.75 E) A margin call will occur if NIY stock falls to $24.75   answer is b how do i get there please provide details thank u

You have a margin account with $45,000 in equity, $110,000 in 4000 shares of NIY stock. The account has a maintenance margin of 10%. How low can NIY stock fall before you have a margin call? A) A margin call will occur if NIY stock falls by 10% B) A margin call will occur if NIY stock falls by $9.45 C) A margin call will occur if NIY stock falls to $18.07 D) A margin call will occur if NIY stock falls by $2.75 E) A margin call will occur if NIY stock falls to $24.75   answer is b how do i get there please provide details thank u

Essentials Of Investments
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
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5. You have a margin account with $45,000 in equity, $110,000 in 4000 shares of NIY stock. The account has a maintenance margin of 10%. How low can NIY stock fall before you have a margin call? A) A margin call will occur if NIY stock falls by 10% B) A margin call will occur if NIY stock falls by $9.45 C) A margin call will occur if NIY stock falls to $18.07 D) A margin call will occur if NIY stock falls by $2.75 E) A margin call will occur if NIY stock falls to $24.75

 

answer is b how do i get there please provide details thank u

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